Two tax schemes

There are two tax schemes on Svalbard. The scheme you come under depends on whether you are subject to ordinary tax liability as a resident (Section 2-1 of the Svalbard Tax Act), or limited tax liability only (Section 2-2 of the Svalbard Tax Act).

Income which is taxable to Svalbard is taxed:

- through deductions from salary, pension, etc. (the PAYE scheme) and/or

- through self-assessment (e.g. capital, capital income, business income, debt)

If you have ordinary tax liability to Svalbard as a resident, or limited tax liability for salary and real property and/or a business, you may be covered by both tax schemes.

However, if you are resident on Svalbard (for at least 30 consecutive days, but less than 12 months), and you only have employment income, etc. on Svalbard during the period concerned, you will only be covered by the PAYE scheme.