Persons who take part in voluntary work are not liable to pay tax on the value of their work, provided that they do not receive a fee from the organisation concerned or others. This will generally also apply when the voluntary work is carried out within a profession, e.g. if a carpenter volunteers to carry out carpentry work.

If the organisation pays a fee for the voluntary work, this will constitute taxable income for the recipient if the fee for the voluntary work, combined with salary and any other benefits from the organisation, exceeds NOK 10,000 during the income year. A reduction in participant fees/individual share of fees to the organisation’s events due to voluntary work is taxable remuneration in the same way as salary.

Occasionally, a business provides materials in connection with the voluntary work, e.g. machinery. In such cases, the business may not deduct the operating expenses for the machinery because the use does not generate taxable income. There will also be no deduction entitlement for salary, etc. paid to employees whom a business makes available to the organisation.

If the carpenter receives payment for the carpentry work, the whole amount is taxable business income without any lower threshold amount.