Item 3.2.1

3.2.1 Minimum standard deduction from own income

Applies to the income year 2017

This item shows the minimum standard deduction you have received. The minimum standard deduction is a standard deduction which everyone who has income from employment and/or a pension receives. The total amount will be pre-completed automatically based on information concerning income and/or pensions.

Does this item concern me?

The item concerns everyone who has income from employment, remunerations, work assessment allowance, sickness benefit, employment benefit and/or pension and disability benefits under the National Insurance Act chapter 12 and disability benefits from other schemes.

Rates and key figures

Minimum standard deduction rates for employment income and/or certain social security benefits:

  • Income up to NOK 31,800: the minimum standard deduction equals the income
  • Income between NOK 31,801 and NOK 72,273: the minimum standard deduction is NOK 31,800
  • Income between NOK 72,274 and NOK 215,340: the minimum standard deduction is 44 percent of the income
  • Income exceeding NOK 215,341: the minimum standard deduction is NOK 94,750

Minimum standard deduction rates for pensions and fixed periodic benefits, except certain social security benefits:

  • Income up to NOK 4,000: the minimum standard deduction equals your income
  • Income between NOK 4,001 and NOK 12,904: the minimum standard deduction is NOK 4,000
  • Income between NOK 12,905 and NOK 261,933: the minimum standard deduction is 31 percent of the income
  • Income exceeding NOK 261,934: the minimum standard deduction is NOK 81,200.

The minimum standard deduction is calculated automatically when the income is reported, and is pre-entered in the tax return.

How do I enter this in my tax return?

If you have checked that all the amounts under item 2.1 and item 2.2 are correct, you do not need to do anything under item 3.2.1.

However, if you change anything under item 2.1 and/or item 2.2, it will affect the total under item 3.2.1. When you submit electronically, the total will be updated automatically.

If you have incurred expenses linked to taxable income which exceeds the calculated minimum standard deduction under item 3.2.1, you may be entitled to a deduction for your expenses instead of the minimum standard deduction. You do this under item 3.2.2.

However, you must remember that: You cannot claim a minimum standard deduction in addition to your actual expenses. You can only claim either a minimum standard deduction or a deduction for your actual expenses.

If you are resident abroad and have only spent part of the year in Norway, you will be entitled to a minimum standard deduction based on the number of months or part thereof you have spent in Norway.

The number of months will be shown in your tax return and is calculated based on the information you gave when you applied for a tax deduction card, so you must check that it is correct.

If

  • you have stayed in Norway for more months than is stated in your tax return,
  • at least 90 of your income will be taxed in Norway (applies to EEA citizens),
  • you have stayed in Norway for more than 183 days over a 12-month period and/or more than 270 days over a 36-month period,
  • you must alter the amount under item 3.2.1 and explain why you have changed the information in an attachment.

You must calculate a new minimum standard deduction as follows:

Example:

When you applied for a tax deduction card, you stated that you would be staying in Norway during the period 3 January to 25 May (five months). However, because your employment contract was extended, you ended up staying in Norway until 16 December (twelve months). Your total salary income is NOK 400,000.

Based on the information you entered in the tax deduction card, a minimum standard deduction of NOK 38,104 (NOK 94,750/12x5) has been pre-completed under item 3.2.1 of your tax return.

As your stay lasted twelve months - rather than five - you must alter the amount under item 3.2.1 to NOK 94,750.

If you change anything under item 2.1 and/or item 2.2, it will affect the total under item 3.2.1. The total will be automatically updated if you make the change electronically. If you make the change on paper, you must also alter item 3.2.1.

Documentation requirements

You do not need to send us any documentation concerning this, but you must be able to present it upon request.

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