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Persons not tax resident in Norway shall pay tax on pensions and disability benefits paid from Norway. The tax is 15 per cent of the gross pension/diability benefit, and it will be deducted by the one that pays the pension/disability benefit.

Withholding tax on pensions and disability benefits applies to: 

  • pensions from the National Insurance Scheme
  • public occupational pensions
  • private occupational pensions
  • other private pensions
  • disability benefits from the National Insurance Scheme
  • disability benefits from other schemes

No withholding tax is to be paid on children’s pensions to children under the age of 17.

The following exemptions from the tax liability apply for persons resident in Australia:

  • Persons who can document that they are resident in Australia pursuant to the tax treaty between Norway and Australia are entitled to tax exemption in Norway for pension and for disability benefits from an annuity.
    The tax exemption does not apply to pension earned through work in Norwegian public service and the corresponding proportion of the basic pension when the person is not an Australian citizen.
  • Persons who have not earned pension points or accumulated pension reserves in the Norwegian National Insurance Scheme are not liable to tax on pensions and disability benefits from private occupational pension schemes and other private pension schemes and war veteran pensions.

The tax treaty between Norway and Australia

The tax treaty between Norway and Australia regulates the right to tax pensions and disability benefits in articles 17, 18 and 21.

Disability benefits

Disability benefits from annuities (IPA/IPS) are not liable to tax in Norway when you can document that you are tax resident in Australia pursuant to the tax treaty.

Other disability benefits are liable to tax in Norway, cfr. article 21 paragraph 3. This applies to disability benefits from the National Insurance Scheme and disability benefits from public occupational pension schemes, private occupational pension schemes and other private pension schemes (with the exception of annuities).

Pensions

The following pensions are always liable to tax in Norway:

  • pensions earned through work in Norwegian public service and the corresponding proportion of the basic pension when the person is not an Australian citizen.

Other pensions are not liable to tax in Norway when you can document that you are a tax resident in Australia pursuant to the tax treaty.

Only persons who can document that they are liable to tax in Australia as residents pursuant to the tax treaty, can be granted tax exemption for pensions/disability benefits that are not liable to tax in Norway pursuant to the tax treaty. You must therefore be able to submit a Certificate of Residence issued by the Australian tax authorities and explicitly stating that you are tax resident in Australia pursuant to the tax treaty with Norway.

A person who is unable to document that he/she is liable to tax resident in Australia pursuant to the tax treaty cannot be granted a tax exemption. All pensions/disability benefits will then be liable to tax in Norway.

Deduction of withholding tax for the income year 2017

If you are of the opinion that all or part of your pension/disability benefit is tax exempt in Norway pursuant to the tax treaty with Australia, you must submit an application for tax exemption to the tax office.

When applying for a tax exemption in 2017, you must:

  • state who pays the pension/disability benefit
  • state whether you have worked for a Norwegian public sector employer and, if so, for how many years you have been emploed in the public sector and how many years you have been employed in the private sector and/or been self-employed. This applies when you receive a pension.
  • document how much of your pension is not to be taxed in Norway when your pension is paid by the Norwegian Labour and Welfare Administration (NAV). You can for example enclose a copy of a payment slip from one of the last few months from NAV.
  • give information on your disability benefits from annuities (IPA/IPS)
  • enclose a Certificate of Residence from the Australian tax authorities.

The Certificate of Residence must be issued by the Australian tax authorities and explicitly confirm that you are tax resident in Australia pursuant to the tax treaty. The certificate must be an original and no more than three months old.

Applications for a tax exemption card or a tax deduction card with a lower tax rate then 15 percent will be processed as they are received. You will receive information on your tax deduction card (Tax Deduction Notice) instead of a tax deduction card. In this notice you will find information on the estimated tax deduction rate/tax exemption. If only part of the pension/disability benefit is tax exempt, you will receive a tax deduction card with a withholding rate of less than 15 per cent. You are not to send this notice to the payers of the pension/disability benefit. They collect the tax deduction card/tax exemption card online from the tax authorities. The Tax Deduction Notice will be sent to your registered address in the National Registry. If you are an e-bruker the Tax Deduction Notice will be sent to your mailbox in Altinn.

If you were granted a tax exemption in the assessment for 2015 and/or you received a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent for the income year 2016, you do not need to apply for a tax exemption card/tax deduction card for the income year 2017. Nor do you have to submit a self-declaration stating that you are still resident in Australia and that you have no plans to move to another country in 2017. The tax office will issue a new tax exemption card on the basis of the information the tax office has about your tax liability.

If you move from Australia or your tax liability to Australia ceases for other reasons, you must apply for a new tax deduction card. 

When you have had tmore ax deducted than stated in the tax deduction card, you can apply for a new tax deduction card. If the whole pension/disability benefit is tax exempt and you receive a tax exemption card, you can apply for a refund of the tax deducted. For more information, see the article ‘Refunds of deducted withholding tax on pensions’.

The tax assessment for the income year 2016

In 2017, all persons liable to tax in Norway will receive the new Norwegian tax return ("skattemelding").

Persons covered by the provisions on withholding tax on pensions and disability benefits will receive the new Norwegian tax return in April 2017.

If you are of the opinion that all or part of your pension/disability benefit is tax exempt in Norway you must submit the tax return and state which income is liable to tax in Norway.

The tax office may request that you submit a Certificate of Residence that explicitly confirms that you are tax resident in Australia pursuant to the tax treaty with Norway. The tax office may also request that you submit documentation stating which part of your pension/disability benefit that is tax exempt in Norway.

The Certificate of Residence must be issued by the Australian tax authorities. It must be an original and no more than six months old. You can submit a Certificate of Residence issued by the Australian tax authorities before they have finished the tax assessment for 2016.

If you do not submit your tax return, a 15 per cent tax will be calculated on your pension/disability benefit in the tax settlement notice.This also applies when you have had a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent.

If you have not received the Norwegian tax return before 15 April 2017, you can contact Tax Administration Norway.

Persons who have not earned pension points or accumulated pension reserves in the Norwegian National Insurance Scheme and have private pensions/disability benefits or war veteran pensions

If you have not earned pensions points or accumulated pension reserves in the Norwegian National Insurance Scheme you are not liable to pay tax in Norway on pensions and disability benefits from private occupational pension schemes and other private pension schemes. Nor are you liable to tax on war veteran pensions.

You must contact the one that pays the pension/disability benefit to notify that you believe the payment not to be liable to tax in Norway.

If you receive a war veteran pension you must contact the tax office. If you receive only a war veteran pension you can apply for a tax exemption card. If you also receive an old-age pension you can apply for a tax deduction card with a lower tax withholding rate than 15 per cent.  You must then document how large a proportion of the pension the war veteran pension amounts to.

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The provisions on withholding tax on pensions and disability benefits only apply to you who have emigrated from Norway for tax purposes. If you are still tax resident in Norway pursuant to the Tax Act your tax will be assessed pursuant to the ordinary provisions. Your tax will be assessed by the tax office for the municipality where you lived in Norway. The provisions in the tax treaty apply to you also.

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All enquiries relating to withholding tax on pension must be addressed to:

Tax Administration Norway
P.O. Box 6310
NO – 9293 Tromsø

Calling from abroad: +47 22 07 70 00
Calling from Norway 800 80 000
e-mail: You must go to www.skatteetaten.no/sendepost if you want to send us an e-mail

Remember to state your national identity number or D-number when you contact the Norwegian Tax Administration.

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