There are around 3,000 cross-border commuters working in Norway. They are not liable to tax in Norway but in their country of residence. Most cross-border commuters are, however, members of the Norwegian National Insurance Scheme and have to pay national insurance contributions in Norway.
To be considered a cross-border commuter, you must:
- reside in a Swedish or Finnish municipality that borders Norway, and
- work in a municipality in Norway that borders your country of residence.
All cross-border commuters receive a tax return from Norway.
Tax deduction card
If you are a cross-border commuter, you must contact the tax office and document that you fulfil the requirements for being a cross-border commuter. Once you have done this, the Tax Administration will issue a tax deduction card for 10 percent, which is the national insurance contribution you have to pay.
The tax deduction card is electronic. This means that your employer will obtain your tax deduction card directly from the Tax Administration. You will receive information about your tax deduction card (your tax notice), which will be sent to your registered address in the National Registry. You do not need to submit anything to your employer.
The cross-border commuter provisions only apply to employment income. If you receive benefits from the Labour and Welfare Service (NAV) or benefits from your employer that are refunded by the Labour and Welfare Service (NAV), this income will normally be liable for tax in Norway. In such cases, you need to contact the tax office to get a new the tax deduction card.
Exemption from membership of the Norwegian National Insurance scheme
By default, the Tax Administration assumes that cross-border commuters who work in Norway are members of the Norwegian National Insurance Scheme. If you also work in a country other than Norway, you are probably a member in the social security scheme in your country of residence. In that case, you need to contact Forsäkringskassan (Sweden) or Pensionsskyddscentralen/Eläketurvaskeskus (Finland) to have your membership clarified.
If you are not a member of the Norwegian National Insurance Scheme, you will receive form A-1 from the National Insurance service in your home country. The form confirms that you are covered by the national insurance scheme in your home country and documents that you do not need to pay national insurance contribution in Norway. The form must be presented to the Norwegian tax office in order for the tax deducted from your income to be reduced.