Dekor lav

Revenue and drop in revenue

In order to apply for a subsidy, the enterprise must have had a drop in revenue of 15 percent or more for the period for which you are applying. 

You can find the enterprise’s actual revenue by adding up the income from the sale of goods that have been supplied and services rendered by the enterprise in the relevant period, even if they are not invoiced in the period for which you want to apply. 

Public subsidies that you have received in connection with the coronavirus situation are not included in the revenue. 

Enterprises that have credit sales that do not issue sales documents (invoices) in the same period as the goods have been supplied/services have been rendered, must provide information about when the revenue was generated to ensure it is registered to the correct month. 

For example, invoices that were issued in April for the sale of goods or services that were sold or rendered in March, must be dated in March. Revenue that has not yet been invoiced must also be included. 

You should only include income that is taxable in Norway. Do not include income or yield from capital, real property or other financial assets. However, rental income from real property must still be included. 

Value added tax and excise duties relating to sales income is not considered income. 

To calculate the drop in revenue, you need the following: 

  • For the subsidy-period 15 March to 30 April 2021 
    • Revenue for 1 March – 30 April 2021 
    • Revenue for 1 March – 30 April 2019 
  • For the subsidy-period 1 May to 30 June 2021: 
    • Revenue for 1 May – 30 June 2021 
    • Revenue for 1 May – 30 June 2019 

How to calculate the drop in revenue depends on when the enterprise was established. The decisive factor is whether the enterprise was established in the same period in 2019 for which the subsidy application is now submitted. 

For the subsidy-period 15 March to 30 April, the revenue for 1. March – 30 April 2019 is compared to the revenue for 1 March – 30 April 2021. 

If the enterprise was not yet established in the corresponding period in 2019 to the one for which you are applying now, or does not have any revenue for these months, the revenue for 1 March – 30 April 2021 is compared to 1 January – 28 February 2020, meaning the last two months before the corona outbreak.  

How to calculate the drop in revenue

The drop in revenue (in percent) is calculated as shown (example for March-April):

20210420 formel beregning omsetningsfall etablert.PNG

Example

The enterprise had a total revenue of NOK 300,000 for March and April 2021. In March and April 2019, the enterprise had a total revenue of NOK 1,000,000. The drop in revenue is 70 percent.

To use this formula, the enterprise applying for a subsidy for March/April 2021 must have been established in March 2019 or later.

Enterprises that were established less than two years before the period for which you are applying for a subsidy must use the revenue from the calendar months January and February 2020 as a basis when calculating the drop in revenue. 

20210420 formel beregning omsetningsfall ikke etablert.PNG

Example

The enterprise had a total revenue of NOK 300,000 for March and April 2021. In January and February 2020, the enterprise had a total revenue of NOK 1,000,000. The drop in revenue is 70 percent. 

Demerger 

Enterprises that has been the transferor or the acquirer in a demerger that has been registered in the Register of Legal Entities in the period 1 September 2019 until 31 December 2019 must use the revenue from the calendar months January and February 2020 as a basis when calculating the drop in revenue. 

This means that enterprises that are established as a result of a demerger after 1 March 2020 cannot apply for salary subsidies. 

Merger 

Enterprises that have been part of a merger in the comparison period or later, may include the revenue from the acquired company for the comparison period.