Costs for pension, sickness benefits and insurance
If you incur expenses relating to your own pension scheme, additional sick pay insurance or disability and accident insurance, you may be entitled to deductions.
If you have a voluntary pension saving scheme in accordance with the Defined-Contribution Pensions Act section 2-3, subsection 2, you're entitled to a deduction for your expenses. The maximum saving is 6% of the calculated personal income before deducting premiums for the pension scheme between 1G and 12G.
You can also get a deduction for risk benefits, such as disability pension in accordance with the Act relating to occupational pensions, benefits to the surviving spouse and deposit-exemption for disability in accordance with the Company Pension Act. The deduction entitlement for this premium comes in addition to the above-mentioned maximum limit.
The amount must be entered in Income Statement 1 (RF-1175) or in the business tax return.
Generally, as a self-employed person, you're not entitled to sickness benefit until 16 days have passed. It will then be limited to 80 percent of your personal income – up to 6G. However, you can still take out insurance through the National Insurance Scheme to increase your cover for lost income. The upper threshold for the sickness benefit basis of 6G applies even if you've taken out insurance. You can take out one of three alternative types of insurance:
- 80 percent of the sickness benefit basis from the first day of sickness
- 100 percent of the sickness benefit basis from the 17th day of sickness
- 100 percent of the sickness benefit basis from the first day of sickness
The premium must be entered in your tax return.
Additional coverage for sickness benefit taken out with an insurance company will not be deductible in either the income statement or the tax return.
Disability and accident insurance
Voluntary occupational injury insurance from NAV is deductible up to NOK 700.