For the withholding tax each taxpayer is provided with a personal deduction either of Class 1 or Class 2. The employer or his representative decides which tax table is to be applied for the employee in question. Married seafarers are entitled to Class 2, unless they are separated. Other seafarers are assigned to Class 1.
Tax table no. 0101 (Class 1) and no. 0201 (Class 2) include National Insurance Contributions, 10 % standard deduction and 30 % seafarer's deduction. If the employee is not entitled to seafarer's deduction, tax table no. 7350 (Class 1) or 7450 (Class 2) is applied.
If the seafarer is not a member of the National Insurance Scheme, tax tables no. 0100 or 7500 (Class 1) and no. 0200 or 7600 (Class 2) are to be applied.
See the different tax deduction tables
Please note that tax deduction tables for seafarers are not appropriate for employees on vessels in petroleum-related activities on the Norwegian Continental Shelf.
National Insurance Contribution
Tax tables for withholding National Insurance Contribution only, are not issued. For seafarers obliged to pay member's contribution to the National Insurance Scheme, without being tax liable to Norway, the employer has to withhold and pay the aforementioned contribution. Payments are made according to the same procedures as those used for payment of withheld taxes.
For the tax year 2016the National Insurance Contribution rate is 8,2 % of gross salary.
In some cases, citizens of EEA countries may be entitled to exemption from National Insurance contributions. To apply for an exemption, the form A1 must be obtained from the National Insurance authorities in country of residence. The form A1 must be sent to NAV International, P. O. Box 8138 Dep., 0033 Oslo, Norway. If the exemption is granted the tax authorities will be informed.
See also: www.nav.no
Recording sheet and tax payment
Employers registered with head office at municipality 2312 - should send the Recording Sheet to:
Skatt vest Skatteoppkrever utland (International Tax Collection Authority)
P.O. Box 8103
and pay the taxes withheld to:
Bank account no. 6345 06 23123 – Den Norske Bank
Iban: NO33 63450623123
Tax Return obligations
As a main rule seafarers with residence abroad who are employed on board Norwegian vessels are exempt from the obligation to submit Norwegian Tax Return However, if the vessel participates in petroleum-related activities on the Norwegian Continental Shelf, the obligation to submit tax returns is activated.
Therefore, employees on board any vessel performing activities such as platform supply, anchor handling, tugging, seismic operations, subsea construction, inspection of maintenance and repairs, pipe laying or similar, have an obligation to submit a Norwegian Tax Return regardless of the number of days spent on the Norwegian Continental Shelf.