In Norway, the property tax (eiendomsskatt) is levied annually by local authorities and is based on the value of the property. The tax rate ranges from 0.4% to 0.7% of the assessed value of the property.
Capital Gains Tax (CGT)
When selling a property, a capital gains tax (skatt på realisert gevinst) may be applicable. This tax is calculated based on the difference between the purchase price and the selling price. However, the tax is not levied on the primary residence, and only a small portion of the gain may be taxed if the property was held for more than 1 year.
In Norway, there is no inheritance tax (arveavgift) as of 2021.
In Norway, there is no gift tax (gaveavgift) as of 2021.
Tax on Property Income
Income from rental properties is subject to tax as income in Norway, and tax rates vary based on the individual’s tax bracket.
Tax Advantages in Buying a House in Norway
There are no specific tax advantages for buying a house in Norway. However, the primary residence is exempt from capital gains tax if held for more than one year. Additionally, interest on mortgages for the primary residence may be tax-deductible.
- Norwegian Tax Administration: https://www.skatteetaten.no/en/personal-taxes/property-tax/property-tax/
- Taxation in Norway: https://www.nordea.no/en/personal/taxation-in-norway/