Italian cross-border workers — the EUR 10,000 allowance and the new Swiss agreement
For a cross-border worker living in Italy, only the part of the foreign salary above EUR 10,000 counts as taxable income in Italy. New cross-border workers in Switzerland also pay Swiss withholding tax — at most 80% of the ordinary Swiss tax — and Italy relieves the double taxation; those under the transitional regime are taxed in Switzerland only.
2026 rules — verified on September 25, 2026Free, no account
Your result
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Sources and assumptions
- Gazzetta Ufficiale — loi 13 juin 2023 — tax year 2026, verified on September 25, 2026
Excerpt from the source : « il limite di reddito indicato nell'articolo 1, comma 175, della legge 27 dicembre 2013, n. 147, e' fissato in 10.000 euro. »
- Gazzetta Ufficiale — loi 83/2023 — tax year 2026, verified on September 25, 2026
Excerpt from the source : « l'imposta cosi' applicata non puo' eccedere l'80 per cento dell'imposta risultante dall'applicazione dell'imposta sui redditi delle persone fisiche applicabile nel luogo in cui l'attivita' di lavoro dipendente viene svolta »
- Gazzetta Ufficiale — tax year 2026, verified on September 25, 2026
Excerpt from the source : « e' fiscalmente residente in un Comune il cui territorio si trova, totalmente o parzialmente, nella zona di 20 km dal confine con l'altro Stato contraente »
Calculation assumptions
- Employment income earned abroad in a border area or a neighbouring country, on a continuous basis and as the sole subject of the employment, counts towards total income only for the part above EUR 10,000 (Law 147/2013, article 1(175), and Law 83/2023, article 4).
- Under the 2020 Italy-Switzerland agreement, a cross-border worker lives in a municipality within 20 km of the border and works in the Swiss border area (Graubünden, Ticino, Valais): Switzerland withholds tax of no more than 80% of its ordinary tax, and Italy taxes in turn and relieves the double taxation.
- Cross-border workers under the transitional regime in article 9 of the agreement remain taxable in Switzerland only: nothing counts towards Italian income.
- Not covered: IRPEF itself, the credit for tax paid in Switzerland, and the Swiss tax, which you enter if you know it. Family allowances paid by the foreign country's social security bodies are not taxable: leave them out of the salary.
This result is provided for information purposes only and does not constitute personalised tax advice. Check your situation with the tax authorities or a professional.