It’s important that you’re familiar with the rules concerning tax and residence in Norway. The information below offers a good introduction.
When you work as an au pair and live with a Norwegian family, you can learn about the Norwegian culture and language. At the same time, you’ll receive pocket money/salary for helping the family with simple jobs such as childminding and light housework. In addition, your host family offers free board and lodging.
How long will you be working in Norway?
When you’ve applied for and been granted a residence permit from the UDI, and you’ve registered this permit by personal attendance at a police station, you must visit the tax office to notify them of your move to Norway or to apply for a tax deduction card.
In order to report your move to Norway, you must have a residence permit for 6 months or more and you must register as resident in Norway and get a Norwegian national identity number.
To report your move to Norway, you must complete the form Reporting a move to Norway - RF-1401.
If you have a residence permit for less than 6 months, you do not register as resident in Norway or report a move to Norway, you only apply for a tax deduction card. Then you’ll be assigned a so-called D number (temporary ID number).
In order to be assigned a D number or Norwegian national identity number, you must undergo an ID control. It’s important to note that it may take 3-5 weeks before you receive a national identity number/D number and information about your tax deduction card.
Guidelines for ID controls
You must personally visit the tax office to prove your identity. Visit one of 42 selected tax offices within 8 days of your arrival in Norway. You must show some documentation. What kind of documentation is required depends on where you come from.
Tax and tax deduction card
You have to pay tax on income you receive from the host family, but the Norwegian language course paid by the host family is tax-free. This means that you’re liable to pay tax on the pocket money/salary and the value of free board and lodging you receive.
You yourself must apply for this by visiting one of the 42 selected tax offices and completing form RF-1209 Applying for a tax deduction card. You’ll then receive information about your tax deduction card (tax deduction notice).
Your host family/employer retrieves your tax deduction card electronically. The tax deduction card shows how much tax the host family must deduct before they pay your salary.
When you apply for a tax deduction card, you need to know both how much salary you’ll receive and how many days you’ll have free board and lodging during the year. See the rates for board and lodging
To calculate the taxable income, you must multiply the rate for board and lodging with the number of days that you receive free board and lodging.
PAYE (Pay As You Earn) for foreign workers
From 2019, a new and simplified tax scheme will take effect. The scheme is meant for foreign workers in Norway. This scheme is called PAYE (Pay As You Earn). Most new foreign workers will fall under this scheme the first year they work in Norway. However, for most au pairs in Norway without other taxable income, it will usually be better to be taxed according to the general tax rules. You can opt out of the PAYE scheme, by applying for a new tax deduction card and ticking the box for taxation under the general tax rules. See more information below, in the section “Tax return".
The PAYE scheme means, in brief, that all income from your host family is taxed at a rate of 25 percent. Your host family deducts the tax from your salary. Your tax will then be settled when you receive your salary. Under this scheme, you cannot claim deduction for expenses, you do not have to submit a tax return nor wait for your tax assessment notice.
It’s important that you give the tax office the address where you receive your mail, and notify us if your address change. If you travel back to your home country before you’ve received the tax return and/or tax assessment notice, it’s important that the tax office and the tax collector have your residential address in your home country.
You’ll normally be a member of the Norwegian National Insurance Scheme from your first day as an au pair in Norway. Check with NAV concerning the rules for this, and what other rights you have under the National Insurance Scheme.
What is a payslip?
A payslip is a receipt that shows the salary you’ve received and the tax that has been deducted.
You should receive a printout of the electronic tax notice or a paper copy of the notice as a payslip for each payment.
The sum of all the notices/payslips replaces an annual summary from the host family of what has been earned throughout the year. Therefore, you must keep the notices in order to check the tax return yourself or as documentation for paid PAYE tax or withholding tax under the general rules.
If you opt out of the PAYE scheme in favour of taxation under the general rules, you have to submit a tax return. You’ll receive a tax return in early April that shows information from the host family about how much you’ve earned and how much tax you’ve paid in the previous year. You need to check that the salary entered in the tax return corresponds with your payslips/notices. If you find errors, you need to correct the tax return. If you do not receive a tax return, you must contact the tax office. It’s important that the tax office knows where to send your tax return.
At the beginning of the year, you’ll receive an annual statement from the bank showing how much money you had in the bank at the end of the year and interest earned. You need to check the details against your tax return to make sure that the amounts entered in the tax return are correct.
Standard deduction for foreign employees can be given to au pairs until and including 2018. You’re entitled to a 10 percent standard deduction on your gross income for the first two years you’re tax-resident in Norway, provided that the conditions otherwise are met. You need to claim this yourself in the tax return. You must enter in the tax return how long you’ve been in Norway. You make all changes directly in the tax return, which you need to submit by 30 April.
From 2019, the standard deduction does not apply to au pairs, among others.
When you leave Norway, you must remember to notify us of your move abroad, with your new address.
If you have chosen the PAYE scheme, you’ll not receive a tax return. Instead, you’ll receive documentation from the Tax Administration showing the information your host family has reported about your income and paid tax. You’ll receive this on 30 April in the year following the income year.