Withholding tax on pensions and disability benefits applies to:

• pensions from the National Insurance Scheme
• public occupational pensions
• private occupational pensions
• other private pensions
• disability benefits from the Norwegian National Insurance Scheme
• disability benefits from other schemes.

No withholding tax is to be paid on children’s pensions to children under the age of 17.

The following exemptions from the tax liability apply for persons resident in the US:

• Persons who can document that they are resident in the US pursuant to the tax treaty between Norway and the US are entitled to tax exemption in Norway for pensions and disability benefits from private occupational ension schemes and annuities (IPA/IPS).
• Persons who have not earned pensions points or accumulated pension reserves in the Norwegian National Insurance Scheme are not liable to tax on pensions and disability benefits from private occupational pension schemes and other private pension schemes and war veteran pensions.

The tax treaty between Norway and the US

The tax treaty between Norway and the US regulates the right to tax pension and disability benefits from the National Insurance Scheme in article 19, pension and disability benefits from public occupational pension schemes to Norwegian citizens in article 17 and to non-Norwegian citizens in article 19, pensions and disability benefits from private occupational pension schemes in article 18 paragraph 1, pension and disability benefits from annuities in article 18 paragraph 2, and pensions and disability benefits from other pension schemes in article 22 paragraph 1.

The following pensions and disability benefits are liable to tax in Norway:

• basic pension and supplementary pension from the National Insurance Scheme
• disability benefits from the National Insurance Scheme
• pensions and disability benefits from public occupational pension schemes
• pensions and disability benefits from private pension schemes not related to previous employment, with the exception of individual pension savings (IPA/IPS) and other annuities.

The following pensions and disability benefits are not liable to tax in Norway:

• pensions and disability benefits from private occupational pension schemes. This applies to i.e. pensions and disability benefits from pension schemes linked to previous employment in the private sector and company-paid pensions.
• pensions and disability benefits from annuities, i.e. individual pension savings such as IPA and IPS.

Only persons who can document that they are liable to tax in the US as residents pursuant to the tax treaty can be granted tax exemption for annuities and for pensions/disability benefits that are remuneration for previous employment in the private sector when the pension/disability benefit is not paid by the Labour and Welfare Service (NAV). You must therefore be able to submit a Certificate of Residence (‘Form 6166 – Certification of US Tax Residency’) from the US tax authorities explicitly stating that you are tax resident in the US.

A person who is unable to document that he/she is liable to tax as a resident of the US cannot be granted a tax exemption. All pensions/disability benefits will then be liable to tax in Norway.

Pensions/disability benefits covered by article 19 of the tax treaty are exempt from taxation in the US. The same applies to pensions and disability benefits from public occupational pension schemes to Norwegian citizens who are resident in the US pursuant to the tax treaty, but who do not have immigrant status in the US. Other pensions/disability benefits taxable in Norway could also be liable to tax in the US pursuant to US regulations. If your pension/disability benefit is liable to tax both in Norway and in the US, it is the responsibility of the US tax authorities to ensure that your pension is not subject to double taxation.

You can find the tax treaty between Norway and the US here.  

Deduction of withholding tax for the income year 2023

If you are of the opinion that all or part of your pension/disability benefit is tax exempt in Norway pursuant to the tax treaty with the US, you must submit an application for a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent to the tax office.

When applying for a tax exemption card/tax deduction card in 2023, you must: 

• state who pays the pension/disability benefit
• enclose a Certificate of Residence from the US tax authorities (‘Form 6166 – Certification of US Tax Residency’).

The Certificate of Residence must be issued by the US tax authorities and explicitly confirm that you are tax resident in the US. The certificate must be an original and no more than three months old.

Applications for a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent will be processed as they are received. You will receive information on your tax deduction card (Tax Deduction Notice) instead of a tax deduction card. In this notice you will find information on the estimated tax deduction rate/tax exemption. If only part of the pension/disability benefit is tax exempt, you will receive a tax deduction card with a withholding rate of less than 15 per cent. You are not to send this notice to the payers of the pension/disability benefit. They collect the tax deduction card/tax exemption card online from the tax authorities. The Tax Deduction Notice will be sent to your registered address in the National Registry. If you are an eUser the Tax Deduction Notice will be sent to your mailbox in Altinn.

If you had a tax exempt pension/disability benefit in 2021 and/or you received a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent for the income year 2022, you do not need to apply for a tax exemption card/tax deduction card for the income year 2023. The tax office will issue a new tax exemption card on the basis of the information the tax office has about your tax liability.

You must apply for a new tax deduction card when you:

• move from the US or your tax liability to the US ceases for other reasons
• receive a new pension/disability benefit from Norway
  • This also applies when you receive a different pension/disability benfit from the same payer as your current pension/disability benefit.

If the whole pension/disability benefit is tax-free and you receive a tax exemption card, you can apply for a refund of the tax deducted. For more information, see the article ‘Refunds of deducted withholding tax on pensions’.

The tax assessment for the income year 2022

Persons covered by the provisions on withholding tax on pensions and disability benefits will receive a Norwegian tax return in March 2023.

If you are of the opinion that all or part of your pension/disability benefit is tax exempt in Norway you must submit the tax return and state which income is liable to tax in Norway.

The tax office may request that you submit a Certificate of Residence (‘Form 6166 – Certification of US Tax Residency’) stating that you are liable to tax in the US.

The Certificate of Residence must be issued by the US tax authorities. It must be an original and no more than six months old. You can submit a Certificate of Residence issued by the US tax authorities before they have finished the tax assessment for 2022.

If you do not submit your tax return and documentation, a 15 per cent tax will be calculated on your pension/disability benefit in the tax settlement notice. This also applies if you have had a tax exemption card or a tax deduction card with a lower tax rate than 15 per cent.

If you have not received the Norwegian tax return before 15 April 2023, you can contact the Norwegian Tax Administration.

Have you not earned pension points or accumulated pension reserves in the Norwegian National Insurance Scheme and have private pensions/disability benefits or war veteran pensions

If you have not earned pensions points or accumulated pension reserves in the Norwegian National Insurance Scheme you are not liable to pay tax in Norway on pensions and disability benefits from private occupational pension schemes and other private pension schemes. Nor are you liable to tax on war veteran pensions.

You must contact the one that pays the pension/disability benefit to notify that you believe the payment not to be liable to tax in Norway.

If you receive a war veteran pension you must contact the tax office. If you receive only a war veteran pension you can apply for a tax exemption card. If you also receive a retirement pension you can apply for a tax deduction card with a lower tax withholding rate than 15 per cent.  You must then document how large a proportion of the pension the war veteran pension amounts to.

The provisions on withholding tax on pensions and disability benefits only apply to you who have emigrated from Norway for tax purposes. If you are still tax resident in Norway pursuant to the Tax Act your tax will be assessed pursuant to the ordinary provisions. The provisions of the tax treaty apply to you also.

All enquiries relating to withholding tax on pensions and disability benefits must be addressed to: