taxed at source... nightmare!

kucciolo24 · #1 08.11.2011, 17:13

Hello all,
i was checking inside the forum info about tax at source in a workplace.
Let me explain better:
- i'm resident in Italy, and let's suppose i will keep the residence for 1 year there (Italy) , while working in Zurich
- Let's say the salary is about 7000 CHF per month

How much is the salary after the taxes (the net one)?
Could you give me some link on the forum useful? I searched on the website (i swear!!!), but really is difficult to find any suitable answer (and basically i'm not so expert even here in italy about taxes ;-) )
Thank you!

Andrea

prof. taratonga · #2 08.11.2011, 17:24

Ciao Andrea,

try this search. Plenty of information about tax and how to calculate them.

kucciolo24 · #3 08.11.2011, 17:32

Ciao!
Thank you for your answer...
i tried this one http://en.comparis.ch/steuern/steuer...vergleich.aspx , but it seems that is not showing me the taxation at source... and others i found on your search link, they are asking me "health" portion to be deducted...
Is so difficultttttt!!! ;-)
In zurich, thinking about 20 % of tax at source, is a reasonable answer? then i have to think to health insurance, right?

big yin · #4 08.11.2011, 17:38

Think you're looking for this calculator:

http://en.comparis.ch/steuern/quelle...lensteuer.aspx

Which suggests that CHF 7k/month in Canton Zurich should be taxed at 8% (single, no religion).

I was a bit surprised to see that ZH is the third lowest taxed canton, to be honest.

st2lemans · #5 08.11.2011, 17:39

	Quote:	kucciolo24
	- i'm resident in Italy, and let's suppose i will keep the residence for 1 year there (Italy) , while working in Zurich

I don't think that will work.

Working in Ticino, fine, but Zurich?

Kind of far to go home every day, don't you think?

Tom

kucciolo24 · #6 08.11.2011, 17:41

Hello,
are that one and example of tax at source or is a "swiss resident" model of taxation? And let's speaking about 7000 chf gross monthly salary, i have to strip from this the amount for "health insurance"? so, 7000 gross minus 400 (just example), and then calculate tax?
Thank you!

Andrea

kucciolo24 · #7 08.11.2011, 17:42

i'm thinking to move there! ;-)

big yin · #8 08.11.2011, 17:45

	Quote:	kucciolo24
	Hello, are that one and example of tax at source or is a "swiss resident" model of taxation? And let's speaking about 7000 chf gross monthly salary, i have to strip from this the amount for "health insurance"? so, 7000 gross minus 400 (just example), and then calculate tax? Thank you! Andrea

No, I don't think that health insurance is tax-deductible for purposes of tax at source (Quellensteuer). So the gross figure is the one to use.

If medical expenses are exceptionally high for some reason, it plays a part in your tax return, if you do one, but as far as I know, it has no influence on tax at source.

kucciolo24 · #9 09.11.2011, 10:41

ok thank you very much for your answer!
I spent few hours the last night, trying to understand the taxation at source system in CH, but i think i got a bit confused.
I search on the forum, about the differences between income tax and tax at source, but i saw ales "canton tax, federal tax, regional tax".
Just to clarify... let's start again with the example of 7000 gross, with a tax at source model; i have to pay the amount of tax at source that i saw with http://en.comparis.ch/steuern/quelle...lensteuer.aspx. Are canton/regional/federal taxes included into this one?
Second question is about other mandatory costs i have:
- Health insurance
- Pension fund
Sorry for the repeating question, but i would like to be quite sure if choosing to move in Zurich.

Andrea

HashBrown · #10 09.11.2011, 11:40

It's not complicated at all; quite the contrary. Tax at source means that tax you a flat rate based on the Kanton of residence. For 7K/month, you can expect 8% income tax to be removed. There will also be deductions for pension (around 5%), unemployment insurance(2%), and most likely accident insurance, disability insurance (varies).

Amaras · #11 11.11.2011, 09:33

	Quote:	st2lemans
	I don't think that will work. Working in Ticino, fine, but Zurich? Kind of far to go home every day, don't you think? Tom

Actually frontaliers can go home once a week, but that tax matters between canton and neighboring state regulated by separate agreements.

Keeping a double residency is a tricky matter.

kucciolo24 · #12 11.11.2011, 13:41

Thanks Amaras!
I was checking on the forum if someone, in Zurich, is in this position:
- G permit (you have to go home once a week - i'm from italy, milan)
- taxed at source
- residence in italy
- Taxation only in CH, due to G permit and the agreement between italy and switzerland

Anyone in this situation?
Thank you

Andrea

Amaras · #13 11.11.2011, 14:04

	Quote:	kucciolo24
	Thanks Amaras!

There is a special tax agreement between Tichino and Italy, but the rest of the country is tax at source.

You will be taxed in Switzerland only. I’m almost confident about that.

You can get a 5 year G permit if contract is for more than a year.

http://www.ejpd.admin.ch/ejpd/en/hom...willigung.html

gio.blq · #14 11.11.2011, 23:46

Hi,

I doubt you can have a G permit while staying in Zurich and "commuting" from Italy. I doubt that Zurich would be considered a "border area" with Italy.

Contact me in private if you need some info - I relocated in ZRH from Italy last year and after a few months I have I'd say a quite good understanding of all the intricacies.

http://www.bfm.admin.ch/content/bfm/...willigung.html