Withholding tax and cross-border commuters in Geneva: 2027 to-do list

2027: a pivotal year for employers of cross-border commuters

If you employ people in Geneva who live in France, January 2027 brings something new: for the first time, you will have to report to the Cantonal Tax Administration (AFC) each of these employees' teleworking rate for 2026. This comes on top of the usual withholding tax obligations, which are not changing but come with short deadlines.

This article sets out, as at 1 October 2026, what the employer, known as the "debtor of the taxable benefit" (DPI), has to do. Everything below is drawn from the official pages of the Canton of Geneva and the Swiss Federal Tax Administration (ESTV), listed at the end of the article. Where a 2027 rule has not yet been published, we say so.

Who is affected?

As a rule, the following are subject to withholding tax:

• foreign workers resident in Switzerland who do not hold a settlement permit (C permit), unless they are married to a Swiss national or a C permit holder;
• people resident abroad who work for a Geneva employer, including cross-border commuters living in France.

If you are unsure of an employee's status, check it before the first salary payment: the employer is liable for the deduction.

Ongoing obligations, month after month

The obligations of a Geneva DPI are as follows:

• Report the hiring of an employee subject to withholding tax within 8 days of their start date, and likewise for the end of employment or a change of status. Reports are made via the ISeL platform, via Swissdec-certified payroll software (ELM-QST) or by form.
• Apply each month the tax scale matching the employee's situation (marital status, children, spouse's income, etc.). The employee must report any change in circumstances within 14 days, so that the correct scale is applied from the following month.
• Withhold the tax from the salary and pay it over. According to ge.ch, monthly payment is due within 30 days of the salary being paid, and any balance by 31 January of the following year at the latest; after that, default interest applies.
• Submit the summary statements (LR) within the deadlines set by the AFC.

The collection commission: 2%, if everything is in order

In Geneva, the employer receives a collection commission of 2% on the amounts withheld. It is not automatic. According to ge.ch, it is reduced by 20% if summary statements are submitted late, by 50% for a repeat offence within three years, and withdrawn entirely in the event of an assessment made ex officio. It may also be reduced or withdrawn where tax scales are inconsistent or municipalities are missing. Well-run payroll therefore has a direct effect on this amount.

What changes in January 2027: the teleworking rate of cross-border commuters

An amendment to the double taxation agreement between France and Switzerland governs the taxation of cross-border commuters' teleworking. According to the Geneva AFC, it has applied since 1 January 2026. Until 31 December 2025, the two countries applied a transitional regime.

The substantive rule is as follows:

• as long as teleworking carried out in France does not exceed 40% of working time over the year, the salary remains fully subject to withholding tax in Switzerland;
• temporary assignments outside Switzerland count towards this threshold, up to a limit of 10 days per year;
• above 40%, the share of salary relating to teleworking becomes taxable in France from the first day, as do the days of temporary assignments.

Teleworking can be organised freely from week to week, provided the annual limit is respected.

For the employer, this creates two new obligations:

• since 1 January 2026, tracking the teleworking and temporary assignment days of each employee living in France;
• reporting to the AFC, at the start of each year, the previous year's teleworking rate. The first report takes place in January 2027, for 2026.

According to ge.ch, this rate is shown on the withholding tax summary statement, submitted on paper or electronically (ELM or ISeL). It does not need to appear on the salary certificate. For a part-time employee, only the rate relating to their work for your company is reported. For someone whose residence changed during the year, only the rate for the period of residence in France is reported.

If you have not yet set up tracking of teleworking days for 2026, now is the time to reconstruct the data for the months that have passed from calendars, teleworking requests or expense claims, and to document the method used.

The 2027 tax scales have not yet been published

As at 1 October 2026, the ESTV page on tax scales for payroll software lists the 2026 scales as the most recent. The 2027 scales are not yet there. For reference, the ESTV notes that the cantons published their 2026 scales between December 2025 and January 2026. So before running January 2027 payroll, check that your payroll software has incorporated the 2027 Geneva scales as soon as they are released.

Subsequent ordinary assessment: what your employees will ask you

The subsequent ordinary assessment (TOU) primarily concerns the employee, but it has practical consequences for the employer, who receives the questions.

• For people resident in Switzerland, the TOU is mandatory when gross annual salary reaches CHF 120'000 (or the spouse reaches that threshold), or where certain other income or circumstances apply. It only needs to be reported once.
• Below this threshold, the employee may request a TOU by 31 March of the year following the tax year concerned at the latest, for example to claim a buy-in to the 2nd pillar or contributions to the 3rd pillar.
• For cross-border commuters, the TOU is available on request under "quasi-resident" status: at least 90% of worldwide gross income must be taxable in Switzerland.

The 2027 deadlines for TOU requests relating to 2026 are calculated according to these rules; check ge.ch for any updated forms for the 2026 tax period.

Checklist for Geneva employers

• Check each employee's tax status (permit, residence, marital status).
• Report every hire, departure or change within 8 days.
• Check the tax scales applied and the municipalities entered.
• Pay over deductions on time and submit summary statements promptly, to keep the 2% commission.
• Keep a record of each cross-border commuter's 2026 teleworking and temporary assignment days.
• Prepare, for January 2027, the 2026 teleworking rate to be reported on the summary statement.
• Update your payroll software as soon as the 2027 scales are published.
• Inform the employees concerned of the TOU rules and the 31 March deadline.

Estimate the deduction with our tool

For an initial estimate of an employee's withholding tax, use our withholding tax calculator. It gives an order of magnitude; the exact amount results from the official scale applicable for the month concerned.

Outsource payroll and withholding tax

RVJ Fiduciaire, in Geneva, handles payroll, withholding tax and reporting to the authorities for SMEs, including tracking cross-border commuters' teleworking. Find out about our accounting and payroll services and see our fees. If your current provider has not yet mentioned the January 2027 deadline to you, our changing fiduciary page explains how to take over a file without disruption.

This article describes the rules published as at 1 October 2026. It is not a substitute for advice tailored to your situation.