Brief information on mainland taxation in connection with periods of residence on Svalbard

When you move from the mainland to Svalbard, you will generally retain your liability to pay tax to the mainland based on residence throughout your period of residence on Svalbard. Such ‘double residence’ means that the standard deductions that are granted in connection with taxation to the mainland will not be reduced. The minimum standard deduction, the personal allowance and the tax-free amount for surtax will not be reduced. The full tax-free amount will also be granted in connection with the calculation of wealth tax on the mainland.

When you move to Svalbard, income and deductions will be allocated between Svalbard and the mainland. All income earned prior to moving to Svalbard will be taxable to the mainland. This could include salary, pension, interest on income, dividends, etc.

During your period of residence on Svalbard, you will be liable to pay tax to the mainland for income and capital that you earned there. This will typically concern income and capital in real property and any salary income or business income earned on the mainland.

A full deduction will be granted for mortgages and mortgage interest linked to real property on the mainland. Any deficit which arises in connection with tax assessment in individual years will be accumulated and may be deducted from future income on the mainland.

If the liability to pay tax to Svalbard ceases with effect from 1 January of the year of emigration, during the emigration year you will be liable to pay tax to the mainland based on your residence, and you will have limited tax liability to Svalbard.. This means for example that pension, capital income and capital gains will be taxable to the mainland for the full year of emigration. If the provisions of the Svalbard Tax Act concerning limited tax liability to Svalbard are not met during certain periods, salary earned during these periods will be taxable to the mainland.