Livigno is a town in the upper Valtellina at an altitude of about 1800 m above sea level, in the valley of the same name, at the foot of the Livigno Alps. The town winds along the road that runs for over 15 km across the entire valley crossed by the Aqua Granda stream (Spöl in German) which conveys its waters towards the Inn (Eno in Italian) and from this to the Danube to finish in the Mar Nero. Livigno is therefore one of the Italian municipalities not belonging to Italian hydrographic basins.
The Aqua Granda (Spol) flows half of its initial stretch in the Val di Livigno and for the other half it flows into the Engadine, in Switzerland. The dangerous passage of the Spöl in a very narrow valley, steep and steep between the two parts, has historically been difficult to access and explains the relative isolation that the Val di Livigno has suffered in the past. The other two entrances are high altitude mountain passes.
It can be reached from the rest of the national territory only from the Valtellina through the Foscagno Pass, (normally kept open all year round), along the Foscagno State Road 301, or from Switzerland via the Forcola di Livigno (passable only in summer), passing through the Poschiavo Valley, otherwise through the road tunnel, from the Engadine. The tunnel is about 3.5 km long and has a single lane (alternating one-way) and a toll lane. The tunnel connects the lower and upper part of the Spöl avoiding the impractical stretch of the stream.
Livigno resumed in the distance from the confluence of the Aqua Granda in the Lago del Gallo
Its territory includes the hamlet of Trepalle, which develops up to 2,250 meters above sea level. This altitude makes it the highest permanent inhabited area in Europe. Eira is a place that gives its name to the homonymous pass.
The name of Livigno appears for the first time in a document written in 1187. Around the 1300s the first historical elements of stable and organized residents were identified, underlying the countryside of Bormio. The geographical isolation has always conditioned every possibility of progress, well-being and cultural growth. 
In 1538 the community appealed to the Grisons rulers to achieve greater independence in pasture management. In fact social, economic and political relations were more prevalent towards the area of the canton of Grigione rather than towards the bosses of Bormio, with whom a permanent dispute was under way. In the times of the Counter-Reformation Bormio was presided over by the Jesuits to defend Catholicism against the infiltration of the Protestants and Livigno found itself in the middle, between the Swiss Protestants and the Jesuits of Bormio, with the complications of the case. In the seventeenth and seventeenth centuries the inhabitants of Livigno succeeded in obtaining and maintaining various forms of concessions and de facto autonomy, in particular at the level of trade in goods exempt from duties, on footpaths and on sources of purchase. In 1797, with the reorganization of the lands of Bormio under the Cisalpine Republic, Livigno became common. Two years later, in 1799, Trepalle was also included in the municipal territory. In 1801 the convention for the withdrawal of the toll line from the political border was stipulated, confirmed also by the Napoleonic Command of Morbegno. After the Congress of Vienna, Livigno, like the entire territory of the province of Sondrio, ends up under Austrian direct control.
In 1819 a contract was stipulated by which Austria recognized facilities similar to those obtained in the Napoleonic period, but with the introduction of significant innovations such as the exemption from the purchase of goods such as salt, tobacco and gunpowder. The treaty, with the introduction of modifications, was renewed in 1825, 1829, in 1840 and in 1857. After the annexation to the Kingdom of Italy, in 1877 the government confirmed the agreement with a three-year extension, renewed several times, creating a paradoxical situation: Livigno enjoyed privileges guaranteed by the Austrians under the Italian government, which however had not legislated. Lack of which is fulfilled only in 1910, granting gabellary exemptions in favor of the municipality of Livigno. In 1914 the Italian army built the Bormio-Livigno connecting road via the Foscagno Pass, which can only be used in summer; only since 1952 is winter opening guaranteed. In 1960 a limited tourist movement began, but it was only after 1969, when the Munt La Schera tunnel (serving for the construction of the Gallo dam) was opened to private vehicular traffic, which effectively started the tourist development of the town . In 1972 the VAT was established and the relative official recognition of its exemption for the extra-customs area of Livigno.