• Employment Contracts
• Forms and identity verifications
• Payroll Settlement
• Salary slips
• A-melding
• Withholding Tax/Payroll Tax
• Working Environment Act
• Rates and Rules
• Public Reporting
• Settlement
• Cloud-based financial system
• Best practice expertise

The PAYE scheme is a tax scheme for foreign workers who have short work stays in Norway. For you as an employer, the PAYE scheme means you have to deduct tax according to a fixed rate and report both salary and deducted tax to the Tax Administration. You must calculate and deduct PAYE tax from all salary and all remunerations that are taxable for the employee. For the employee, the tax is settled when you report salary and deducted tax, so it is important that you submit accurate reports.

The tax rate is a fixed rate of 25 %, and this rate includes this contributionand social security as well. However, if the employer pays this contribution in their home country, the tax rate can be reduced to 16,8 % in Norway through the application of the A1- scheme. Through the A1-scheme, the employer is also exempted from paying the employment taxes in Norway as these taxes are paid in the home country

We will help you with both the application of the PAYE scheme and the A1-scheme. There is no need of paying employment taxes and social security in two countries, but you do need to apply for an exemption in Norway, otherwise the tax authority will act upon it.

When using the PAYE scheme, the taxable amount is set and there is no need of doing the tax declaration for the foreign employee, which might be a relief for the employee as he do not know how to treat a tax declaration in Norway.

Everyone who works in the construction- and cleaning industry must have a valid HSE card from the state. This is an identification card that identify who you are and which company you work for. It is required by law to carry such a card at all times at the work place.

An employer or sole proprietorship that does not have an HSE card for itself or its employees will, upon inspection, be ordered by the Norwegian Labour Inspection Authority to obtain this.

If the employer or sole proprietorship does not comply with the Norwegian Labour Inspection Authority’s order, the Norwegian Labour Inspection Authority may suspend operations until an HSE card has been obtained. The Norwegian Labour Inspection Authority can also impose a violation fee for missing HSE cards. Particularly serious cases will be reported to the police.

Employees and sole proprietorships can be penalized if the HSE card is transferred to others.

By receiving a power of attorney, we can order these cards for you.

Based on the information related to the employment contract and the information from the RF-1199-scheme, the employee is remunerated in accordance with the reported hours worked, and of which can be registered directly in the system. Full service related to withholding tax, payroll tax, salary slips, “a-melding” etc. is part of the delivery.

Whether or not the employees are paid from their home country, we have the knowledge on how to obtain that information and report it correctly to the tax authorities. All documents are stored electronically.

Norway has signed multiple tax treaties with a number of countries in order to avoid double taxation and prevent tax evasion, as well as other agreements in the tax area. We can help you with understanding the tax treaty and whether you are taxable to Norway, limited taxable to Norway, or not taxable at all.

We work closely with our partners in order to establish in what taxable positions our clients are.

Always remember that your taxable position might change during the work expansion. We keep close contact with our clients in order to understand their tax position at all times.

Understanding when you hire out labour in Norway or when you have an Enterprise-relationship with your Norwegian client, is difficult.

We give you the tools in order to understand this division. When hiring out labour, your employees are taxable to Norway from day 1. When there exist an Enterprise-relationship, the employees are only taxable to Norway if the project last more than 183 days during a calendar year or a 12-month period (depending on what is said in the country’s tax treaty).

However, the employee’s salaries need to always be reported in Norway for the work done in Norway, with our without the taxable amount. As a routine, we always apply for the exemption of paying withholding taxes to the tax authority for our clients in order to make sure that the employees are freed from paying such taxes.

Remember that if you suddenly are considered of having a permanent establishment, the employees WILL BE taxable from day 1, and you need to reverse the already reported salaries and report them again with the taxable amount.

In any case, the taxes you pay in Norway, will need to be credited in your home country during the reporting of your enterprise’s tax declaration. (referring to the country’s tax treaty of avoiding double taxation)

We work closely with our partners in order to establish in what taxable positions our clients are.

Always remember that your taxable position might change during the work expansion. We keep close contact with our clients in order to understand their tax position at all times.