NORWAY Trends and Developments Contributed by: Bernhard Getz-Jeffreys and Johannes Wiegaard, Ro Sommernes Advokatfirma AS
Key Developments and Legislative Changes in 2026 1. Legislative changes As Norway progresses through 2026, several recent developments have shaped the tax landscape. Although the changes are not as radical as they pre - sumably would have been if the 2025 national election had favoured the centre-right, several significant tax policy changes merit discussion. Some are already in effect, some are to take effect before the end of the year, and some are yet to be finalised. These chang - es in policy, while maintaining the overall existing tax structure, target specific challenges. This article briefly highlights the most important of those changes. 1.1 Wealth tax adjustments and new deferral scheme The Norwegian government imposes a tax on the global net wealth of individuals and certain organisations (not corporations or partnerships) tax resident in Norway, unless stipulated otherwise in an applicable tax treaty. The net wealth tax rate is 1.0% for net wealth up to NOK21,500,000 and 1.1% for net wealth exceeding this threshold. Net wealth is calculated as the sum of the tax value of the relevant tax subject’s assets, less any debt. Different assets are valued differently for tax purposes. The net wealth tax was the major topic of the 2025 parliamentary election. As the election was won by the left, the net wealth tax has not undergone any material changes, except for the following. Individual taxpayers are granted a basic allowance (Nw: bunnfradrag ) in the wealth tax, which has been marginally increased from NOK1.76 million in 2025 to NOK1.9 million in 2026, with corresponding increases for married couples. Also, a new permanent deferral scheme has been introduced from the 2026 income year onwards. Taxpayers who own business assets (shares, equity savings accounts, business equipment in sole pro - prietorships, commercial real estate, and interests in partnerships with participant taxation) can request deferral of wealth tax payment for up to three years if their wealth tax exceeds NOK30,000.
This deferral applies to advance tax deductions, advance tax payments and finally assessed wealth tax. Interest on the deferred amount will be charged at the Norwegian Central Bank’s policy rate plus five percentage points to prevent abuse of the scheme. Taxpayers can submit deferral requests and exit the scheme at any time during the income year. This deferral scheme represents a policy shift, seek - ing to address liquidity concerns raised by business owners while maintaining the wealth tax structure. The measure aims to reduce the immediate cash flow bur - den on entrepreneurs and business owners who hold substantial wealth in illiquid assets. However, some business organisations have stated that while they support the deferral scheme as better than no solu - tion at all, the interest rate set may limit its practical use, as the rate may not be sufficiently attractive for businesses with genuine liquidity challenges. 1.2 Closing tax loopholes in the real estate sector In recent years, with increased interest rates and less profitability within the real estate sector, many land - lords have sought to realise their real estate portfolios. A commonly used “loophole” has consisted of forming housing co-operatives (Nw: borettslag ) as opposed to condominium associations (Nw: eierseksjonssameie ), often through a conversion through, inter alia, a tax- exempt merger. The government has resolved to close the above- mentioned tax loophole by eliminating the ability to merge limited companies tax-free into housing co- operatives, a central element in the so-called “mul - ti-step model” that facilitated reduced capital gains taxation on property sales. The amendment ensures that transfers of land and buildings in the transaction chain are subject to ordi - nary capital gains taxation when a company is merged into a housing co-operative, preventing housing co- operatives from acquiring assets at artificially low tax values that provide permanent tax advantages. A tran - sitional period until 1 April 2026 has been established for projects with building permits, commencement permits or pre-sales contracts.
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