How much tax do you have to pay – letting of other dwellings/holiday homes in Norway

Any profit is taxed in principle as capital income at the rate of 22 percent. Correspondingly, any deficit will become a deduction

However, it's not necessarily always the case that rental income is taxed as capital income. In some cases, rental income can be taxed as business income, at a tax rate of up to 50.6 percent.

Whether the letting is considered a business activity or not depends on an overall assessment that is based on the scope, frequency and duration of the letting, among other things. Usually, for the letting to be assessed as a business activity, you have to have several rental properties and/or frequent lets.

The "Am I self-employed?" wizard is available here.

As a rule of thumb, the letting of five housing units or more (as homes or holiday homes) will normally be considered as business activity. If you let your own home or holiday property that comes under the rules for tax-free letting, this is not included as one of the housing units in the assessment as a business activity. See also short-term letting.