Changing the basis for the property tax calculation

If your municipal authority uses the Norwegian Tax Administration's estimated market value as a basis for assessing property tax and you believe that the basis is wrong, you can change it yourself by amending your tax return through submitting a correction. It is no longer necessary to submit an appeal to the Norwegian Tax Administration

The estimated market value is based either on statistics from SSB (property value) or the actual market value as documented by the property owner (when the owner has appealed to reduce the statistically estimated market value). There are two possible reasons why the basis for calculating property tax (the estimated market value for the property) could be wrong:

For property tax assessed in 2020, you must check the housing information entered in the tax return for the 2018 income year under "Housing information - basis for tax value".

If information in the tax return (primary area (living area), year of construction or housing type) is wrong, you can change the information yourself by submitting a correction to the Norwegian Tax Administration. You must be able to present documentation of the change if the Norwegian Tax Administration asks to see it. For more information on making changes yourself, see the section entitled “How to make changes” below.

If you believe that the tax value is too high compared to the actual market value, you can change/reduce the tax value yourself by submitting a correction to the Norwegian Tax Administration. Certain limits have been established concerning the tax value relative to the actual market value. Consideration must be given to the limits that applied in the income year from which the calculation basis (the estimated market value for the property) was obtained.

For property tax assessed in 2020, it is the limits that applied to the 2018 income year which apply:

  • For residential properties that you own and occupy (primary dwellings), you can ask for the tax value to be reduced if it amounts to more than 30 percent of the market value
  • For residential properties that you own but are not registered as occupying (secondary dwellings), you can ask for the tax value to be reduced if it amounts to more than the documented sales value.

Any reduction in the tax value will affect the property's calculated market value and hence also the property tax assessment.

You must be able to document the property's market value if the Norwegian Tax Administration asks you to. ‘Documentation’ primarily refers to a valuation provided by a qualified valuer/valuation from an estate agent or documentation of observable market values (the amount for which the property concerned or an almost identical property in the same area has sold). Documentation of observable market value could be a purchase agreement or similar document stating the sale price.

The reduction in tax value will be used as a basis in tax calculations for the next five years.

You are responsible for ensuring that the tax value in the tax return that you submit is correct.

 

If your municipal authority does not use the Norwegian Tax Administration’s estimated market value for the property  when assessing property tax, the basis for property tax must be changed through submitting an appeal to the municipal authority concerned. You must contact the municipal authority if you have any questions concerning reductions in and/or waiving of property tax, etc.

How to make changes

If your municipal authority uses the Norwegian Tax Administration’s estimated market value for residential properties (property values) when assessing property tax, property tax that is assessed in 2020 will be based on housing values from the 2018 income year. 

If you believe that the estimated market value for residential properties (property value) has been calculated using inaccurate information (primary area, year of construction, etc.) or that the tax value of your property is too high relative to the actual market value, in the case of property tax assessed in 2020, you must alter the basis yourself by submitting a correction for the 2018 income year. You can make changes yourself for up to three years after the deadline for submitting your tax return for the income year you wish to change, i.e. normally by 30 April 2022. In the same way you can submit a correction if you wish to change the residential information i.e. the basis for the determination of the income year 2017. For the incomeyear 2016, you can change yourself up to and including  30 April 2020. After this date, you must send a request for change to the Norwegian Tax Administration.

Any changes you make may be checked by the tax authorities. You'll receive separate notification of this in such a case. If you wish to change estimated market value for residential properties/tax value for 2015, you must do this by submitting a request for amendment to the Norwegian Tax Administration.

You must pay the property tax by the due date even if you have altered the information in your tax return. 

You cannot make a change yourself if you have received notification or a decision from the tax authorities concerning a change in the housing information or tax value in the tax return for 2018. In order to change your housing value/tax value in such cases, you must file a complaint with the tax office. Such a complaint can be delivered through the form RF-1364.

Not the owner of the property as of 31 December 2018?

You cannot change the tax value by submitting a correction for the income year 2018 if you were not the owner of the property as of 31 December 2018. To change the property value/tax value in such cases, you need to submit an appeal to the tax office. There are no electronic forms for appealing these types of cases. You must therefore send a written appeal with an explanation for why you think the basis is incorrect. Send your appeal to the local tax office. You can also submit a written appeal with your explanation electronically. Under the question “What do you need help for”, you tick the box for “Tax”. Under the question “What do you want to know”, you tick the box for “Tax return”. Then you klick the button for “Write to us”. Log in and write an appeal with your explanation.

Property tax and housing cooperatives

How to change the basis for property tax concerning a housing association or limited liability housing company