Taxes in Norway in 2026

What taxes do you pay in Norway in 2026

Norway taxes almost everything at once: up to 47.4% of a high salary, 25% of every purchase and 1% a year of what you own. The state, the counties and the municipalities all share the revenue, but you barely notice: income tax rates are almost the same everywhere and a single agency, the Norwegian Tax Administration, runs the whole system. The exception is Finnmark and the northern municipalities of Troms, whose residents pay 18.5% instead of 22% on general income.

Norway is not in the European Union and uses the Norwegian krone. Amounts here are in US dollars with the sum in kroner in brackets; one dollar is about 9.6 kroner. Visas, residence permits and other routes are collected on our Norway page.

What changed in 2026

• Bracket tax thresholds were raised in line with wage growth. The employee contribution was cut from 7.7% to 7.6% (from 10.9% to 10.8% for the self-employed), while the two top bracket rates rose by 0.1 point to 16.8% and 17.8%, so the top marginal rate stayed at 47.4%.
• The personal allowance rose to $12,000 (114,540 kroner) and the cap on the minimum standard deduction for salaries to $10,000 (95,700 kroner).
• The childcare deduction was cut from $2,700 (25,000 kroner) to $1,600 (15,000 kroner) for the first child and from 15,000 to 10,000 for each additional child, because kindergartens became cheaper.
• A permanent deferral of up to three years was introduced for wealth tax above $3,200 (30,000 kroner) on shares, company stakes and sole-proprietorship assets.
• About 100,000 randomly selected people born in 1991-2006 are part of a trial that gives them a work deduction of up to $14,000 (125,000 kroner) a year for five years.
• Electric cars now carry value added tax on the part of the price above $32,000 (300,000 kroner) instead of $53,000 (500,000 kroner).
• For wealth tax, a main home is now valued at 25% up to $1.5 million (14 million kroner) instead of $1.1 million (10 million kroner), and at 70% above that.

Compare taxes in 146 countries: relocation taxes 2026

What is the income tax rate in Norway

Norwegian income tax has no single rate: the same salary is hit by two taxes at once, calculated on two different bases.

Tax on general income is a flat 22% on net income, that is after deductions. The rate is the same in Oslo and in Bergen. Only residents of Finnmark and the northern municipalities of Troms get a break: 18.5% plus an extra $4,700 (45,000 kroner) deduction.

Bracket tax is a progressive surcharge on salary and pension. It is charged on the gross amount, with no deductions at all.

On top comes the 7.6% social security contribution. Every krone earned above $160,000 (1,467,200 kroner) is taxed at 22 + 17.8 + 7.6 = 47.4%. That is the marginal rate, not the average: even on a high salary the state takes noticeably less overall, as the examples below show.

Which deductions reduce the tax

• Personal allowance: $12,000 (114,540 kroner), deducted from the 22% base. If you live in Norway for only part of the year, you get it pro rata by months.
• Minimum standard deduction: 46% of salary, capped at $10,000 (95,700 kroner); on pensions 40%, capped at $7,900 (75,400 kroner). If your actual work expenses are higher, you can claim them instead.
• Interest on loans, including mortgages, is fully deductible and saves 22% of the interest paid.
• Commuting: 1.90 kroner per kilometre; costs count up to $13,000 (120,000 kroner) a year and a $1,300 (12,000 kroner) threshold is subtracted, so the deduction is at most $12,000 (108,000 kroner).

There is no tax-free allowance in the usual sense. Deductions only work against the 22% tax, while bracket tax and the 7.6% contribution ignore them. The one real break is for very small earnings: with income up to $11,000 (100,000 kroner) a year you can get a tax exemption card, under which your employer withholds nothing. It is mostly used by students with side jobs.

How much tax you pay on a salary in Norway

A $53,000 (500,000 kroner) salary loses about 22% to tax, a $130,000 (1.2 million kroner) salary about a third. Below is a worked example at 2026 rates for a resident who lives in Norway all year, with no children and no mortgage: mandatory taxes and standard deductions only. You can check your own figure with the official tax calculator on the Norwegian Tax Administration website.

The progression hides in the top steps: up to $76,000 (725,050 kroner) each extra krone is taxed at 33.6%, up to $110,000 (980,100 kroner) at 43.3%, up to $160,000 (1,467,200 kroner) at 46.4%, and above that at 47.4%.

What an employee costs the employer

The employee sees only their own share. An employer in Oslo pays a further 14.1% on top. Worked example: a person on $84,000 (800,000 kroner) costs the company $96,000 (912,800 kroner) and takes home about $61,000 (581,000 kroner). Roughly 64% of what the company spends reaches the employee. In Norway that is normal, not a stingy employer.

Taxes in Norway for foreigners: when you become a tax resident

Norway counts days rather than asking where your centre of vital interests is. You become a tax resident if either condition is met:

• more than 183 days in Norway in any 12-month period;
• more than 270 days in any 36-month period.

Every day you spend even partly in the country counts, including the days you arrive and leave. The purpose of the stay does not matter: a posted worker, a student and a tourist are counted the same way. How this rule works elsewhere is covered in our piece on the 183-day rule.

When residence starts

If you cross the threshold within one calendar year, you are resident from your first day in the country that year. If the 183 days straddle two years, residence starts on 1 January of the second year. Someone who arrives in September and stays through the winter becomes resident on 1 January and pays as a non-resident for the autumn.

What the simplified scheme is and who benefits

Most foreign workers start on the simplified scheme, tax withheld at source on salary. The employer withholds a flat 25%, and that already includes the 7.6% contribution. If you stay insured in your home country and show an A1 form (a certificate of social security cover in another country of the European Economic Area: the European Union plus Norway, Iceland and Liechtenstein) or a certificate under a social security agreement, you pay 17.4%. Workers under 17 or over 69 pay 22.5%.

Conditions for 2026:

• annual income no higher than $76,000 (725,050 kroner);
• you are non-resident, or it is your first year as a Norwegian tax resident;
• no business income and no work on Svalbard, on Norwegian ships or on the continental shelf;
• no deductions at all: no personal allowance, no mortgage interest, no commuting;
• no tax return, the tax is final.

The simplified scheme is often seen as a tax break, but it is a simplification. Our worked example at 2026 rates: for someone who lives in Norway all year with full deductions, ordinary assessment is cheaper than the simplified scheme on a salary up to about $70,000 (668,000 kroner). At $53,000 (500,000 kroner) the saving is about $1,600 (14,400 kroner), while at $74,000 (700,000 kroner) the simplified scheme is already $300 (2,800 kroner) cheaper. If you arrive mid-year, your deductions are reduced and the break-even point moves. You can leave the simplified scheme retroactively, until 31 December of the third year after the income year.

Ukrainians with temporary collective protection have no separate tax regime. According to the Norwegian Tax Administration, a newcomer who applies for a tax deduction card joins the simplified scheme automatically and moves to the general rules after the first year of residence, like any other foreigner. You will need a Norwegian bank account for your salary; see our page on personal accounts in Norway.

What a non-resident pays on Norwegian income

How to stop being a Norwegian tax resident

Leaving Norwegian tax residence is harder than acquiring it, and the rule depends on how long you have been resident.

A home counts as available if you, your spouse or your minor children have one, owned or rented. A single flat left behind in Oslo can keep you Norwegian-resident for years. If two countries claim you as a resident at the same time, the double tax treaty decides.

Norway tax residency rules: 183 days and 270 days

Norway does not ask about family or home: it counts days. More than 183 days in any 12 months or more than 270 days in any 36 months make you resident. Every day spent in the country, even partly, counts.

The 270-day rule catches those who come for 4 months every year: no single year crosses the line, but three years together do. Leaving is harder: after more than 10 years in Norway you stay resident for 3 full years after departure. A resident pays progressive tax on worldwide income, a non-resident only on Norwegian income.

Mistakes cost more: seasonal work adds up to 270 days as quietly as small purchases add up to a monthly bill, and Norway taxes the whole year. Murblz support removes these risks: we count days under both rules, plan the trips, handle the exit from residence and obtain the certificate. We guarantee professional work and a transparent process, and in most cases a result on the first filing.

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What is the VAT rate in Norway in 2026

Norway's standard value added tax rate is 25%, one of the highest in Europe: Germany charges 19%, the United Kingdom 20% and neighbouring Finland 25.5%.

Registration threshold: $5,300 (50,000 kroner) of taxable turnover in any 12 months, or $15,000 (140,000 kroner) for charitable and non-profit organisations. A foreign business without a presence in Norway registers through a value added tax representative, although businesses from the United Kingdom and many European Economic Area countries, including Germany, France and Sweden, can register directly. Returns are filed every two months; with turnover under $110,000 (1 million kroner) you can switch to annual filing after a year.

Online shops. Foreign sellers of goods under $320 (3,000 kroner) per item charge Norwegian value added tax at checkout through a simplified value added tax registration for foreign retailers. More expensive items go through normal customs clearance.

Electric cars. From 1 January 2026 the value added tax exemption threshold for buying or leasing an electric car was cut from $53,000 (500,000 kroner) to $32,000 (300,000 kroner), and 25% is charged on the part of the price above it. A car costing $53,000 (500,000 kroner) before value added tax, which used to be fully exempt, now carries $5,300 (50,000 kroner) of tax. The government plans to keep lowering the threshold until the exemption disappears, but each year's figure is set in the budget.

How tourists get a value added tax refund in Norway

Visitors can reclaim part of the value added tax through tax free shopping. According to Visit Norway, the country's official tourism portal, the terms with the operator Global Blue are:

• a purchase of at least $35 (315 kroner) in one shop on one day, or $35 (290 kroner) for food at the 15% rate;
• a refund of up to 19% of the purchase price, which is the value added tax minus the operator's fee;
• only for people who live outside Norway, Sweden, Finland and Denmark;
• the goods must leave Norway within one month of purchase and be shown on exit;
• refunds are paid at Global Blue desks at airports, border crossings and cruise terminals.

What social security contributions employees and employers pay

Norwegian social security contributions have no ceiling. In Germany or Austria the contribution base is capped; here a $320,000 (3 million kroner) salary pays the same rate as $32,000 (300,000 kroner).

Employee: social security contribution

• salary: 7.6%;
• self-employment income: 10.8% (7.6% for fishing, hunting and childminding at home);
• pensions, and any income of people under 17 or over 69: 5.1%.

Below $11,000 (99,650 kroner) a year no contribution is due. Just above that, a smoothing rule applies: the contribution cannot exceed 25% of the amount by which your income exceeds the threshold.

Employer: social security contribution on salaries

The rate depends on the zone: the further north and the more sparsely populated the area, the cheaper it is to hire.

The extra 5% employer contribution on salaries above $89,000 (850,000 kroner), introduced in 2023 as a temporary measure, was abolished from 2025. The financial sector still pays a separate 5% tax on payroll.

Norway's wealth tax: who pays and how much

A Norwegian resident pays 1% a year simply for owning assets worth more than $200,000 (1.9 million kroner). In Europe only a few countries, such as Switzerland and Spain, still levy something similar. Norway charges it on net worldwide assets, even in a year when they earned nothing.

Debts are deductible but reduced pro rata where assets are valued at a discount. Worked example: a $2.1 million (20 million kroner) share portfolio is valued at 16 million kroner, so the tax is (16,000,000 - 1,900,000) × 1% = $15,000 (141,000 kroner) a year. That is 0.7% of the portfolio's market value, due even in a year when the market falls.

From 2026 there is a permanent deferral: if your wealth tax exceeds $3,200 (30,000 kroner) and the assets are shares, stakes in companies, a share savings account with deferred tax or sole-proprietorship business assets, payment can be postponed for up to three years. The tax does not go away, it only moves.

The price of this tax shows in departures. Finance Ministry data show that 82 wealthy Norwegians with combined net wealth of about $4.8 billion (46 billion kroner) left the country in 2022-2023. More than 70 of them moved to Switzerland. How Switzerland taxes wealth is covered on our page on Swiss taxes.

How Norway taxes dividends, shares and property

Individuals pay an effective 37.84% on dividends and share gains, above the average burden of about 30.6% on a $110,000 (1 million kroner) salary. The mechanics are simple: the amount is multiplied by 1.72 and the ordinary 22% is applied.

The shielding deduction softens this: the part of the return equal to a risk-free yield on the money invested is tax-free. The shielding rate for 2025 is 3.6%; the Norwegian Tax Administration will publish the 2026 rate in January 2027. Unused shielding carries forward on the same share. Bank interest, rental income and other capital income are taxed at a flat 22%.

Property tax

There is no national property tax. Municipalities may levy their own, and many do. The maximum on homes and holiday homes is 4 per mille, i.e. 0.4% a year, and 7 per mille on other property, while the base for homes cannot exceed 70% of value. Each municipality sets its own basic deduction.

Take Oslo: in 2026 the city cut its rate from 2.35 to 1.7 per mille and raised the deduction to $520,000 (4.9 million kroner). According to the city, a home worth under $760,000 (7.25 million kroner) pays nothing. Worked example for a $1.2 million (11 million kroner) home: (11 million × 70% - 4.9 million) × 1.7 per mille = about $500 (4,760 kroner) a year. Commercial property in Oslo pays 3.7 per mille with no deduction. For buying property, see our investment property in Norway page.

A gain on selling your home is tax-free if you owned it for more than a year and lived in it yourself for at least one of the last two years. Otherwise the gain is taxed at 22%. Renting out part of your own home is tax-free if you let less than half of it by rental value.

Inheritance and gifts

There has been no inheritance or gift tax since 1 January 2014. But a continuity rule applies: the heir takes over the asset at the original acquisition cost, so the tax is not abolished, only deferred until the asset is sold.

Norway's exit tax: what changed

Leaving Norway with a large shareholding now costs up to 37.84% of a gain you have not yet made. The rules were tightened in 2024 for departures from 20 March 2024, and in 2026 they apply in full.

• When you cease to be resident, unrealised gains on shares are treated as realised the day before you leave and taxed at 37.84%.
• The first $320,000 (3 million kroner) of gains is tax-free. It is a deduction, not a threshold: only the amount above it is taxed.
• The tax covers shares in Norwegian and foreign companies, partnership interests, funds, share savings accounts and capital insurance policies.
• You can pay at once, in interest-free instalments over 12 years, or in one sum after 12 years with interest. After 12 years the debt falls due even if you have sold nothing.
• If the company pays you dividends in those years, 70 of every 100 kroner received goes towards the exit tax. This rule applies to departures from 7 October 2024.
• If you return to Norway within 12 years and still hold the shares, the tax and interest are cancelled.

Worked example: an unrealised gain of $1.1 million (10 million kroner) produces a tax of (10,000,000 - 3,000,000) × 37.84% = $280,000 (2,648,800 kroner). Plan your exit before you move: once your residence has changed, most decisions can no longer be undone.

Business taxes in Norway: company or sole proprietorship

Norway's corporate income tax is a flat 22%, with no discount for small business: a company making $21,000 (200,000 kroner) pays the same rate as a large corporation. There are no tax holidays for new companies either. Deviations only go upwards, in sectors with natural resource rent.

Participation exemption

Under the exemption method, dividends and share gains that a Norwegian company receives from companies in the European Economic Area are almost tax-free: 3% of dividends is added back to the base, an effective burden of 0.66%. For companies outside the European Economic Area you need a stake of at least 10% held for two years, and the country must not be a low-tax jurisdiction.

Norway also has controlled foreign company rules: the profit of such a company in a low-tax country is taxed in the owners' hands even if it is not distributed. See our page on controlled foreign company rules. There is also the 15% global minimum tax for large multinational groups. The minimum share capital of a limited company, the most common business form, is $3,200 (30,000 kroner); the set-up process is on our company registration page.

Sole proprietorship, dividends or salary: which is cheaper

Worked example for $94,000 (900,000 kroner) of pre-tax profit in zone I, without the shielding deduction. The owner has no other income, and the personal allowance is applied in all three cases.

A sole proprietor pays 22%, bracket tax and the higher 10.8% contribution. A company pays 22% on profit, then the owner pays 37.84% on the dividend. With a salary, $12,000 (111,217 kroner) goes on employer contributions and the rest is taxed as ordinary pay.

The conclusion surprises many: in Norway taking profit out as dividends is more expensive than as salary. Dividends win when profit stays in the company or when the shielding deduction is large. And shares in your own company fall into the wealth tax base, so they are taxed every year even while profit remains undistributed.

Audit and company reporting

A small limited company can opt out of an audit if it stays under all three thresholds: revenue of $740,000 (7 million kroner), a balance sheet of $2.9 million (27 million kroner) and an average of 10 full-time employees. Annual accounts go to the state business register and are public. For bookkeeping help, see our audit and reporting page.

A company or sole proprietorship needs a local account: we open a business account in Norway with you.

Taxes in Norway vs Sweden, Denmark, Germany, the UK and the US

Norway does not have the highest top rate on salaries in Northern Europe: Denmark and Sweden take more from high earners. What sets Norway apart is the wealth tax and a tough exit tax. The comparison uses data from national tax and statistics authorities for 2026:

Methods differ: some countries include employee contributions in the rate and some do not, so compare the order of magnitude rather than decimals. Detailed guides are on our pages on Finland, Germany, the United States and Iceland, and a continental overview is in our European taxes in 2026 comparison.

When to file a tax return in Norway and what the penalties are

Most people in Norway never fill in a tax return: the Norwegian Tax Administration does it for them. Salary, bank accounts, mortgages and securities flow into the return automatically, and your job is to check the figures and add foreign accounts, foreign assets and expenses for deductions.

If there is nothing to correct in an individual's pre-filled return, you do not have to submit it: it is deemed filed. Companies must always file, even with no activity.

Penalties

• Additional tax for incorrect or incomplete information: 20% of the tax understated, more for gross negligence or intent.
• A coercive fine accrues for every day until the report is filed.

Declare foreign accounts from the start: Norway takes part in the Common Reporting Standard (the automatic exchange of bank account data between countries).

Does Norway offer tax breaks for newcomers

The short answer is no. There is no regime taxing only income brought into the country, no lump-sum tax for the wealthy and no reduced expat rate of the kind offered by Italy, Greece, Cyprus or Portugal. The 10% standard deduction for foreign workers has been abolished.

What does exist:

• Simplified scheme: 25% in the first year on salaries up to $76,000 (725,050 kroner). A simplification, not a tax break.
• Svalbard: a separate tax territory. Salaries are taxed at 8% up to 12 times the basic amount of Norwegian social security and 22% above, plus social security. From 1 May 2026 the basic amount is $15,000 (136,549 kroner), so the threshold is about $180,000 (1.64 million kroner). There is no value added tax on the archipelago. The condition is to genuinely live and work on Svalbard; more on our page about moving to Svalbard.
• Research tax credit for company research and development.

If your goal is to cut your personal tax bill, Norway is the wrong tool. Rates in other countries are collected in our tax directory.

Double taxation and tax treaties

Norway gives credit for tax paid abroad, but no more than the Norwegian tax on the same income; unused credit can be carried forward for up to five years.

Kazakhstan, Ukraine, Georgia, Azerbaijan

Treaties with these countries are in force. Withholding rates on Norwegian dividends under the treaty texts: Kazakhstan and Ukraine 5% for a substantial holding and 15% otherwise, Georgia 5% and 10%, Azerbaijan 10% and 15%. Where there is no treaty, double taxation is relieved only by each country's domestic credit rules, which are narrower and not always available.

The 1996 treaty with Russia has not been formally terminated, but since 8 August 2023 Russia, by Presidential Decree No. 585 and then Federal Law No. 598, has suspended its key articles, including the reduced rates on dividends, interest and royalties and the rules on salaries and professional income. Check the status on the date of each specific payment.

How to legally pay less tax in Norway in 2026

The top marginal rate on salary in Norway is 47.4%, but deductions, the choice of business form and the rules for housing let you legally pay less. Here are six ways that work in 2026.

1. Deductions from the 22% tax. A personal allowance of $12,000 and a standard deduction of 46% of salary, capped at $10,000, reduce the base of the 22% tax; if your actual work expenses are higher, you claim them instead of the standard deduction. Interest on loans, including the mortgage, is deducted in full, which saves 22% of the interest paid. Commuting gives 1.90 kroner per kilometre, up to $12,000 of deduction a year.
2. The simplified 25% tax in the first year. A non-resident or a new resident in the first year with a salary of up to $76,000 can pay a flat 25% including the 7.6% contribution, with no deductions and no tax return, and someone who stays insured in their home country and shows a social security certificate pays 17.4%. Over a full year this beats the ordinary calculation at a salary from about $70,000. You can leave the simplified scheme retroactively, until 31 December of the third year after the tax year.
3. A sole proprietorship or a salary from your own company instead of dividends. With a profit of $94,000 a sole proprietor pays 34.6%, the owner of a limited company who pays themselves a salary pays 36.1%, and taking the whole profit as dividends costs 48.7%. Dividends win when the profit stays in the company: a Norwegian company pays about 0.66% on dividends from companies in the European Economic Area, and gains on such shares are not taxed.
4. The shareholder allowance and wealth tax deferral. The part of dividends and share gains equal to the risk-free return on the money invested is not taxed: 3.6% for 2025, and an unused allowance carries forward to later years on the same security. For the wealth tax, shares and business stakes count at 80% of their value and the main home at 25% of its assessed value, and wealth tax above $3,200 on shares, stakes and business assets can be deferred for up to three years.
5. Housing, gifts and inheritance. A gain on selling a home is not taxed if you owned it for more than a year and lived in it yourself for at least one of the last two years. Renting out part of your own home is not taxed if you let less than half of it by rental value. There has been no gift or inheritance tax since 1 January 2014, and transfers of property between spouses and to a statutory heir also carry no registration fee.
6. The north of the country and Svalbard. Residents of Finnmark and the northern municipalities of Troms pay 18.5% instead of 22% and get an extra deduction of $4,700, and employers there pay no contribution for their staff. On Svalbard salary tax is 8% on income up to 12 times the basic amount, about $180,000, and 22% above that, plus the social security contribution, and there is no value added tax on the archipelago. The condition is that you actually live and work there.

Our manager calculates your tax burden and chooses a legal structure: the first-year regime, the business form and the order of deals with housing and shares. Murblz support sets up the company, the bank account and the tax documents.

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Pitfalls: who Norway is not for

The main trap in Norway is taxes that arrive without any income: on what you own, on leaving, on the flat you left behind.

• Wealth tax without income. 1% a year on assets above $200,000 (1.9 million kroner) is due even in a loss-making year.
• A flat keeps you resident. A home available to you, your spouse or your children blocks your exit from residence, even if you have long lived elsewhere.
• A 12-year exit tax. Leaving with a large shareholding means owing the Norwegian tax office for 12 years.
• Dividends cost more than salary. 48.7% in total versus 36.1% when the same profit is paid out as salary.
• The simplified scheme is not always cheaper. For a full year on a salary below about $70,000 (668,000 kroner), ordinary assessment wins.

Not a fit for people seeking low taxes on capital, passive income or dividends from their own company; for investors with large portfolios, because of the annual wealth tax; or for anyone planning to stay a couple of years and leave with a growing shareholding. A fit for employees on ordinary salaries: on $53,000-74,000 (500,000-700,000 kroner) the burden including social security is about 22-25%, and there is no inheritance tax at all.

What matters about taxes in Norway

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