For businesses operating in Norway, understanding and fulfilling tax obligations is essential. Norway’s tax system aims to promote transparency and simplicity, allowing businesses to comply with tax regulations effectively. In this article, we will guide you through the process of filing annual tax papers for businesses in Norway, providing key insights to help you navigate the system with confidence.
Tax Administration for Businesses
The Norwegian Tax Administration (Skatteetaten) oversees tax matters for businesses in Norway. Their primary goal is to ensure fair and accurate tax collection while providing businesses with the necessary resources and guidance to fulfill their tax obligations.
Businesses in Norway follow specific deadlines for submitting annual tax papers. The deadline for filing tax returns for entities like LLC and branch companies (AS and ASA and NUF): is May 31st of the year following the tax year.
Deadliens and Important Dates
It is crucial to keep track of these deadlines to avoid potential penalties or fines. It is however possible to apply for a delayed submittal, which often will be approved.
Completing the Tax Return
Businesses in Norway must complete the annual tax return to report their financial information accurately. The tax return requires the following key details:
Income and expenses: Provide a comprehensive breakdown of your business’s income and expenses during the tax year. This includes revenue from sales, services, and other business activities, as well as deductible expenses related to operations, such as rent, utilities, salaries, and business-related travel.
Assets and liabilities: Report the value of your business’s assets, such as property, equipment, and investments, along with any outstanding liabilities or loans.
Depreciation and amortization: If your business owns depreciable assets, you will need to account for their depreciation or amortization in the tax return. This helps determine the correct taxable income for the year.
Tax deductions and allowances: Norway offers various deductions and allowances for businesses. These may include expenses related to research and development, employee training, social security contributions, and certain environmental initiatives. Familiarize yourself with the available deductions and ensure you claim those applicable to your business.
Supplementary Forms and Additional Reporting
Depending on the nature of your business, you may need to submit supplementary forms or provide additional information alongside the annual tax return. These forms cater to specific circumstances, such as foreign activities, transfer pricing, intra-group transactions, or VAT reporting. Be sure to review the requirements relevant to your business and complete any necessary supplementary forms accurately.
Digital Filing and Assistance
The Norwegian Tax Administration promotes digital filing for businesses, simplifying the tax filing process. Utilize the digital portal called “Altinn” to complete and submit your tax return electronically. Altinn provides comprehensive guidance and support to ensure accurate reporting.
If you require assistance or have questions regarding your business’s annual tax papers, the Norwegian Tax Administration offers dedicated helplines and local tax offices. Professional tax advisors and accountants can also provide expert advice, ensuring compliance and maximizing tax benefits. Ecovis is also very experienced in both filing and assisting, and may ensure compliance in this regard.
Tax Assessments, Payments and Refunds
Once your business’s tax return has been processed, the Norwegian Tax Administration will issue a tax assessment. This assessment determines the final tax liability or refund. If you have a tax liability, you will need to make the payment by the designated due date. In case of a refund, it will be deposited directly into the business’s designated bank account