We suggest that you use the difference between your maximum tax deduction and the tax deduction used in the provisional tax calculation as a starting point. The tax rate on capital income is 22 percent. If you divide the difference by 22 and multiply by 100, you get the capital income that results in the tax corresponding to the difference. We recommend that you use the tax calculator. You can use this program to find an allocation of capital income, which, where possible, will result in full utilisation of the maximum tax deduction.

If the capital income is not sufficient for the one of you with the lower income to make full use of their maximum tax deduction, you do not have to perform any calculations. Then, you can simply transfer the capital income that can be distributed freely to the one with the lowest income.

If you do not wish for the spouse with the lowest income to pay any tax, you must ensure that you find and transfer the right amounts. The sum of tax and national insurance contributions must not exceed the limit for collection of underpaid tax. The limit is NOK 99 (including interest).

See examples of how married couple Kari and Per allocate interest income in their tax returns and how this gives them lower overall tax. 

In the examples below, tax rates for 2023 have been used.

Example showing that spouses can utilise a larger part, but not all, of the tax deduction by transferring capital income and capital expenses

Kari and Per have drawn a retirement pension from the National Insurance Scheme with a retirement percentage of 100 all year and have capital income.

In connection with the tax calculation, the assessment method (either tax class 1E or tax class 2F) is chosen based on what is most favourable for the spouses collectively based on the chosen allocation of capital income and expenses.

	Kari	Per
Pension	NOK 170,000	NOK 310,000
Interest income	NOK 5,000	NOK 15,000
Sum	NOK 175,000	NOK 325,000
Calculated tax	NOK 14,698	NOK 53,431
- Tax deduction	NOK 14,698	NOK 22,271
= Tax	NOK 0	NOK 31,160

Feel free to use our tax calculator to calculate your taxes and tax deductions.

Calculation of the capital income that Kari lacks in order to make use of her maximum tax deduction:

Maximum tax deduction	NOK 32,825
Utilised tax deduction	NOK 14,698
Difference	NOK 18,127

NOK 18,127 in tax on general income corresponds to capital income of NOK 18,127 / 22 x 100 = NOK 82,395. In this example, they only have NOK 15,000 in capital income to transfer from Per's tax return to Kari's tax return, so in this case it is simple. The whole amount is moved.

If the spouses transfer all their interest income to Kari's tax return, the tax will be:

	Kari	Per
Pension	NOK 170,000	NOK 310,000
Interest income	NOK 20,000	NOK 0
Sum	NOK 190,000	NOK 310,000
Calculated tax	NOK 17,999	NOK 50,132
- Tax deduction	NOK 17,999	NOK 22,271
= Tax	NOK 0	NOK 27,861

 

The spouses do not have sufficient capital income for Kari to use her maximum tax deduction. She still has NOK 0 in tax after the tax deduction. However, Per reduces his tax by NOK 3,300 (NOK 31,160 – NOK 27,861). The lower the lowest pension is, the more it pays off to transfer a greater proportion of the capital income to the spouse with the lowest income.

Example showing that spouses can use a larger part, but not all, of the tax deduction by transferring capital income and capital expenses

Kari has drawn a retirement pension from the National Insurance Scheme with a retirement percentage of 100 all year and have capital expenses, and Per has drawn a retirement pension from the National Insurance Scheme with a retirement percentage of 100 all year and have capital income.

	Kari	Per
Pension	NOK 170,000	NOK 310,000
Interest income	NOK 0	NOK 10,000
Interest expenses	NOK 5,000	NOK 0
Sum	NOK 145,000	NOK 320,000
Calculated tax	NOK 12,498	NOK 52,332
- Tax deduction	NOK 12,498	NOK 22,271
= Tax	NOK 0	NOK 30,061

Calculation of the capital income that Kari lacks in order to make use of her maximum tax deduction:

Maximum tax deduction	NOK 32,825
Utilised tax deduction	NOK 12,49
Difference	NOK 20,327

 

NOK 20,327 in tax on general income corresponds to capital income of NOK 20,327 / 22 x 100 = NOK 92,395.

If they move the interest income from Per to Kari, and recalculate the tax, the result is that she will utilise NOK 14,698 of her maximum tax deduction of NOK 32,825. Per gets his tax reduced by NOK 2,200.

If the spouses transfer the interest expenses of NOK 5,000 to Per's tax return and the interest income of NOK 10,000 to Kari's tax return, the tax will be:

	Kari	Per
Pension	NOK 170,000	NOK 310,000
Interest income	NOK 10,000	NOK 0
Interest expense	NOK 0	NOK 5,000
Sum	NOK 180,000	NOK 305,000
Calculated tax	NOK 15,799	NOK 49,031
- Tax deduction	NOK 15,799	NOK 22,271
= Tax	NOK 0	NOK 26,760

Kari utilises NOK 15,799 of her maximum tax deduction, while Per reduces his tax by NOK 3,300. 

Feel free to use our tax calculator to calculate your taxes and tax deductions.

Read more about how to allocate interest income and capital income between married couples, registered partners and spouse-equivalent cohabiting partners