How to change the standard deduction

The standard deduction for foreign workers have been repealed, taking effect from the start of the income year 2019. 

From the start of the income year 2019, the expense allowance for board during commuting stays is always taxable for taxpayers who use the new PAYE scheme (Pay As You Earn) for foreign workers.  

In earlier years, the standard deduction for foreign workers was a deduction you could choose instead of several other deductions you are entitled to. The standard deduction was 10 percent of your gross income from employment, with a maximum deduction of NOK 40,000.

The deduction was entered under item 3.3.7 and the instructions for how you can change the standard deduction are found below:

You must first log in to Altinn and open your tax return for alteration/submission. You can get help with logging in here.

Under item 1.2 Information about personal circumstances etc. fill in the periods during which you were resident in Norway.

 

1. Click ‘Change’ for item ‘3.3/4.8 Interest, debt, other capital costs and deductions’.

Shows the main overview with the items in the tax return.

 

2. Click on the arrow to bring up an overview of the items.

Shows the ‘Add’ dropdown list in the list above.

 

3. Select the appropriate item, item ‘3.3.7 Ten per cent standard deduction for temporary stay in Norway’ from the dropdown list.

All items under 3.3/4.8 will be shown in the dropdown list.

 

4. Click ‘Add’.

Item ‘3.3.7 Ten per cent standard deduction for temporary stay in Norway’ is selected in the dropdown list. Alongside is the ‘Add’ button.

 

5. The standard deduction is calculated on the basis of gross salary in item 2.1.1 and is entered in the ‘Amount’ field. Click OK.

Fill in all the fields and click ‘OK’.

In this example, it's NOK 300,000 x 10% = NOK 30,000. Remember that the maximum deduction is NOK 40,000 and that you can only claim it for the first two years in which you are considered to be resident in Norway.

If you're only staying temporarily and aren't considered to be resident in Norway, you can claim the standard deduction every year.



6. Check that the change has been included, and
7. Click ‘Save/Back to the list’.

The new item has been added to the list of items. At the bottom is the ‘Save/Back to the list’ button.

 

8. The change to item ‘3.3/4.8 Interest, debt, other capital expenses and deductions’ will be shown in the main overview.
You can now change other items or submit your tax return by clicking ‘Check form’.

Shows the main overview with the items where item 3.3/4.8 has been updated in the tax return.

Important information

This year, most persons will receive the tax return in a new format, divided by topics. If this applies to you, you wil find that the guidance in this page does not apply to you. Please log in and you will find the help you need directly in your tax return. Are you uncertain of which format you have received, you can read more about the different formats of tax return.