Despite its healthy share of sunshine, a dark cloud hangs over the canton of Ticino. A tax battle with neighboring Italy is aggravating cross-border relations — and it shows no sign of ending. Negotiations on a new double-taxation agreement between Switzerland and Italy have bogged down, with banking secrecy a key stumbling block. Fed up with waiting, the Ticino authorities last month took matters into their own hands, by blocking 30 million francs in taxes bound for Italy. Some Italian politicians took notice, calling for tax talks to start immediately, but progress is still slow-going. WRS’s Tony Ganzer reports:

Please find this story on World Radio Switzerland. (link opens in new window)