Norway - Other taxes and levies | KPMG | GLOBAL
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Norway - Other taxes and levies

Norway - Other taxes and levies

Taxation of international executives

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Social security tax

Are there social security/social insurance taxes in Norway? If so, what are the rates for employers and employees?

Employer and employee 2017

Type of insurance Paid by employer  Paid by employee Total
Social security contribution 14.1% 8.2% 22.3%
Total 14.1% 8.2% 22.3%


An individual working in Norway is subject to Norwegian social security contributions. The normal rate for the employer is 14.1 percent on gross earnings. The employee’s contribution is 8.2 percent based on gross wages.

There are three exceptions to the payment of the social security contributions.

  • A person covered by the home country scheme and social security treaties may be wholly or partially exempt; Norway has entered the EU Social Security Agreement. 
  • Furthermore, Norway has entered into several other social security treaties, for instance with Canada and Quebec, Australia, India and the U.S. These treaties may wholly or partially exempt both the employees and the employer from contribution to the Norwegian social security system.
  • A foreign employee from a country without a social security treaty with Norway may be exempted from contribution to the Norwegian social security system, if satisfactorily covered by a foreign social security system. An application must be filed.

In Norway, there is a mandatory occupational pension. This is paid by the employer and the minimum rate is 2 percent of gross income. Exceptions can be granted under certain conditions.

Gift, wealth, estate, and/or inheritance tax

Are there any gift, wealth, estate, and/or inheritance taxes in Norway?

There are no gift or inheritance tax in Norway for 2017.

An individual resident in Norway for tax purposes on 1 January in the year following the income year is subject to net wealth tax on his/her worldwide wealth. Non-resident individuals are only subject to wealth tax on certain property in Norway, generally on real estate and on assets connected to a permanent establishment or fixed place of business in Norway.

 

Municipal wealth tax on individuals 2016

The municipal wealth tax is 0.7 percent of wealth above NOK 1 400,000. .

State wealth tax on individuals

The state wealth tax is 0,15 percent of net wealth above NOK 1 480 000.

Taxable amounts are rounded down to the nearest thousand.

Marginal rate on wealth tax is 0.85 percent (0.7 percent + 0,15percent).

Real estate tax

Are there real estate taxes in Norway?

The municipalities may levy a real estate tax. It is payable by the owner of the property, irrespective of his/her residence. The tax is computed on the assessed value of the property using a rate varying from 0.2 percent to 0.7 percent. The tax is payable on installments that are decided by the local authorities.

Sales/VAT tax

Are there sales and/or value-added taxes in Norway?

There are value added taxes, VAT, which is a general tax levied on sales within the country and on import. Value-added tax is levied on goods and services, and applies to all stages in the chain of production and distribution. Any person engaged in trade or business is required to register and to charge and pay VAT on goods and services he/she supplies. Value-added tax on inputs purchased by the registrants is deductible in the VAT accounts. Value-added tax is thus not a tax on the registrants but a tax on final consumption.

Unemployment tax

Are there unemployment taxes in Norway?

Not applicable.

Other taxes

Are there additional taxes in Norway that may be relevant to the general assignee? For example, customs tax, excise tax, stamp tax, and so on.

Please contact KPMG Law Advokatfirma AS for additional information as there are some additional taxes that may be applicable depending on the actual circumstances.

 

Foreign Financial Assets

Is there a requirement to declare/report offshore assets (e.g., foreign financial accounts, securities) to the country’s fiscal or banking authorities?

If the employee is considered tax resident in Norway, he or she will have invoked a global tax liability. All income and wealth (assets) has to be declared in the Norwegian tax return.

© 2018 KPMG Law Advokatfirma DA, a Norwegian member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

KPMG International Cooperative (“KPMG International”) is a Swiss entity.  Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.

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