NO Capital Gains

Quick reference

Quick reference

Item	Value
CGT rate	22% flat (ordinary income rate)
Shares: shield deduction	Yes — skjermingsfradrag reduces taxable gain
Legislation	Skatteloven (§10-30 to §10-37 for shares)
Tax authority	Skatteetaten (skatteetaten.no)

Shares — shareholder model (aksjonærmodellen)

• Shareholder model taxation of shares — Norway's shareholder model taxes gains on shares at 22%, but first allows a shield deduction (skjermingsfradrag) — a risk-free return on invested capital that is not taxed.
• Taxable gain formula — Taxable gain = Actual gain − Shield deduction Shield deduction = Cost base × Shield rate (approximately 2%–3% per year)
• Shield deduction carry-forward — The shield deduction accumulates annually and can be used against dividends or gains. Unused shield deduction carries forward.
• Effective rate on investment gains — 22% percent (on the gain above the shield deduction)

Real property

• Primary residence exemption — Gains from sale of primary residence are exempt if: You have owned the property for at least 1 year, AND You have used it as your primary residence for at least 1 of the last 2 years
• Other real property tax rate — 22% percent (gains from other real property (rental, holiday property))

Exit tax

• Exit tax unrealised gains threshold — 500,000 NOK (unrealised gains on shares exceeding this amount when a Norwegian tax resident emigrates may trigger exit tax)
• Exit tax assessment and deferral — Exit tax is assessed on departure. Payment can be deferred if moving to an EEA country (must post security). Deferred tax becomes due after 12 years or if shares are sold.

Sources

• Skatteloven, §10-30 to §10-37 (shareholder model)
• Skatteetaten: skatteetaten.no/en/person/taxes/get-the-taxes-right/shares-and-securities

Working paper only. The shield deduction calculation requires the annual rates published by Skatteetaten. Have a qualified Norwegian tax adviser (autorisert regnskapsfører / skatterådgiver) review.