Swedish taxation

Through Relocare Sweden AB and our registered offices in Lund and in Stockholm, we will be able to help with tax advice and tax-related services for postings, expat assignments, local hires and business travelers.

We assist with Swedish tax registration, Swedish tax returns, entry / exit meetings and cross boarder rules. We have a thorough knowledge of the Øresund Agreement for tax and social security.

As a starting point, as a foreign citizen who has to work in Sweden, you are taxable in Sweden when you work in Sweden for more than 6 months.

Sweden applies the global tax principle, which means that global income is taxable and must be reported in Sweden for a person resident in Sweden. However, this does not necessarily mean that tax must be paid. This depends i.a. of the length of stay and whether there is a double taxation agreement with the home country.

Relocare Sweden AB is able to help determine a possible tax payment even before arrival in Sweden and helps to obtain the right overview for a good planning of an employment or posting.

When leaving Sweden, the global tax principle must be taken into account to know what the tax consequences are and whether the Swedish tax liability may cease.

We are also happy to help with this.

Here are some examples of taxation in Sweden, but it is very important to emphasize that each persons individual situation and work pattern must always be analyzed to conclude on the taxable situation in Sweden.

SINK

Commuters who work in Sweden but live in Denmark can be taxed according to the so-called SINK taxation. Hereby, the Swedish earned income is taxed at 25% without deductions from the income.

This requires that there is no overnight stay in Sweden. In that case, the earned income is taxed according to the ordinary tax rules.

Ordinary taxation

Sweden taxes taxable persons according to progressive tax rates. The marginal tax is approx. 52.37% of taxable income over SEK 598,500.

Capital income is taxed with a gross tax of 30%.

Expert tax scheme

Highly paid and key persons can be taxed according to the Expert Tax Scheme in Sweden. In this way, 25% of 30% of the salary can be paid tax-free and also exempt from social security.

The conditions for being taxed as an Expert in Sweden include:

The person must be a foreigner
Employer and remuneration must be Swedish
High earners must earn at least SEK 114,601 (2024)
Expert taxation can be obtained for up to 7 years.

Social Security

In Sweden, social security contributions are paid by the employer. The rate is a gross 31.42% of the wage cost for the employee. There are no contributions for the employee.

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