The deadline for tax settlement is inevitably approaching. The documents that must be completed will allow for the application of appropriate tax reliefs and tax deductions in Norway. It is also worth knowing how to properly prepare for a tax settlement in Norway.
Tax settlement in Norway
Currently, income tax in Norway is 22% of the salary paid. However, this is not a rule - people living in the counties of Nord-Troms and Finnmark are covered by the preferential 18,5% threshold. Taxpayers are required to settle accounts with the Tax Office by April 30 at the latest. However, it is possible to extend this deadline until the end of May.
How does it look in practice?
The taxpayer should first update his tax card (Norwegian Skattekort). Typically, this should happen whenever your income changes. The update must be made at the beginning of each tax year. It is this document that determines the final result tax settlements income in Norway.
Tax settlement - documents
The beginning of each year is the time when people working in Norway make their tax return. The documents to be prepared will enable the proper fulfillment of obligations towards the tax office. Each taxpayer should prepare:
- Income statement from the employer - a document provided by the employer by February 2 at the latest. It contains information on income earned, income tax advances paid and the period of employment.
- PIN codes that will be required to log into the Altinn system.
- Skattemelding - preliminary tax settlement, which the Tax Office makes available in the Altinn system by April 4 at the latest.
- Årsoppgave - document provided by NAV if the taxpayer received social benefits in the previous tax year.
Every employee in Norway is obliged to make a tax return. The documents listed above will be sufficient to take advantage of the 10% discount. It is worth noting that it can only be used by people who have been working in Norway for no longer than 2 years.
Tax settlement - documents for pendler
Taxpayers who are subject to the pendler status are entitled to additional write-offs. The Tax Office may take into account such a tax settlement, however, the documents that must be provided are:
- Marriage certificate and child's birth certificate in English English or Norwegian,
- Certificate of joint registration issued in 2019 in English English or Norwegian,
- Credentials fees for living in Norway – if the amount exceeds NOK 10 per year, it must be bank statements or a document from the employer.
There is also a deduction for travel expenses to your home country. To this end, an appropriate confirmation must be submitted. The Tax Office in Norway does not take into account invoices, but only boarding passes or booking confirmations. When traveling by ferry, it is worth preparing receipts for tolls on toll roads. There is a chance that these costs will also be tax deductible.
Also read: How to get a tax refund in Norway? >>>
Tax settlement - documents and copies
Taxpayers can also count on a number of other write-offs in the tax return. The documents to be completed differ depending on the type of excerpt that will be applied. The most popular are:
- Family allowance - it allows you to deduct costs for kindergarten, after-school club, SFO, etc. If the child is under 12 years of age. In order to use the tax deduction, the following documents must be attached to the tax settlement: the child's birth certificate and a certificate from the director of the institution on the fees incurred, issued for the taxpayer's data.
- Loan interest deduction - interest payment deduction is possible only in the case of a mortgage loan. To use this deduction, you must attach a document (necessarily in English or Norwegian) confirming the payment of interest in the previous year to the tax return.
Is it worth using the help?
Tax settlement in Norway is slightly different than in Poland. Therefore, it can cause many problems, especially for people who work shortly and do not know Norwegian well enough. That is why it is worth using the services of a specialized company. Advisors from TopNor dispel all doubts.
