When you hire out an employee, both the contractor (the part that hires out) and the client (the part that hires) are liable for the payment of employer's national insurance contributions and withholding tax. This also applies for self-employed companies with employees.
Joint and several liability means that we can make both the contractor and the client responsible for unpaid claims.
Exemption from joint and several liability
You must send the application to the contractors tax collector. For more information you must contact the relevant tax collector office or see their internet site.
Exemption from joint and several liability for a foreign employer
If the contractor is a foreign employer who must report to the Assignment and employee register, you shall send the application to The Norwegian Tax Administration, P.O.Box 9200 Grønland, 0134 Oslo, Norway.
We can give exemption from the date we receive an application with all enclosures. You can get an exemption for up to one year at a time, the first time maximum 6 months. If you need to extend the exemption, you must send a new application before the end of the previous period.
To get an exemption you must:
- report contract and employees – Assignment and employee register - forms RF-1199 and RF-1198
- submit the a-melding (also applies for self-employed companies with employees)
- transfer the tax you have deducted from your employees' salaries into a separate tax deduction account, or get a bank guarantee covering the tax deducted
- have paid all tax claims
You must apply for each contract. An exemption applies to all clients in the contract chain.
Temporary work agencies can apply for a general exemption for all clients for a given period. The contractor must be registered with the Norwegian Labour Inspection Authority.
Postboks 9200 Grønland
Other contractors must contact the local tax collector for information and application.