Taxes most likely to affect an international researcher staying and/or working in Norway are income tax, wealth tax, and value added tax (VAT). Income and wealth are levied as direct taxes by the state, county, and municipality, value added tax is an indirect tax by the state.
Your tax status in Norway depends on personal circumstances and possibly on the provisions of a tax treaty (regjeringen.no) between Norway and the country in which you were a resident before arriving.
Your tax situation depends on your residence status, according to Norwegian tax law. As a tax resident you are subject to tax in Norway on your worldwide income and capital. As a non-tax resident you are liable to tax on certain Norwegian-source income only, i.e. from employment exercised in Norway and income from real and personal property situated in Norway.
An individual is deemed to be tax-resident in Norway if he or she stays in Norway for more than 183 days in any 12-month period (each day counts), or more than 270 days in any 36-month period. The individual will be regarded as resident from the calendar year when the aggregate stay exceeds 183/270 days.
The fiscal year is the calendar year.
How is income tax calculated?
From 2019, a new and simplified tax scheme has come into effect. The scheme is meant for foreign workers who have time-limited work stays in Norway. This scheme is called PAYE – Pay As You Earn (skatteetaten.no). Most new foreign workers will fall under this scheme the first year they work in Norway.
You can choose to pay tax according to the general tax rules instead of the PAYE scheme. You can make your selection when you apply for a tax deduction card. Note that if you choose to pay tax according to the general tax rules instead of the PAYE scheme, you cannot change your decision.
Tax deduction card
Paying taxes in Norway requires that you have a permanent or temporary national identity number and a tax deduction card.
Note: If you have a D-number, your tax card will NOT be automatically renewed at the turn of the year. For example, if you arrived in Norway in 2022 and received a tax card when you started to work in Norway, you must still apply for a new tax card for 2023. If you have not applied for a tax card for 2023, NIH is obliged to deduct 50 % taxes from your salary, from February onwards.
Settlement of income and wealth taxes is finalized by means of a tax return (skattemelding).
The tax return is due by 30 April the year following the income year.
Tax-liable individuals staying in Norway for a maximum of 183 days, may request an advance tax assessment from the local tax Office.