5 quick facts about taxes in Sweden

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Tax return in Sweden is a fairly simple affair for most private individuals – a check and approval in the Swedish Tax Agency's app, on the website or via text message.

Here are 5 quick facts about taxes in Sweden:

1️⃣ The Swedish welfare system is based on the general principle that everyone contributes, and everyone gets equal access to the same safety net and public services. The largest share of Swedish public spending goes to social protection, which covers childcare and pensions, among other things.

2️⃣ The local income tax varies between 29% and 35% depending on where you live.

3️⃣ The corporate income tax is currently 20.6%, lower than the global average.

4️⃣ The standard VAT rate in Sweden is 25%, but there are also reduced rates of 12% (e.g. foodstuffs) and 6% (e.g. books).

5️⃣ The Swedish word for tax is 'skatt', which also means treasure. 😊

If you're employed in Sweden, your tax is automatically deducted from every month's pay, so the tax return is mostly about checking that the pre-filled figures are correct and add any extra information, like if you've sold your home – in which case there might be profit taxes to pay.

It's also possible to send in your tax return by mail or by phoning a special number at the Swedish Tax Agency.

Many people in Sweden get a tax rebate, for example if you've got a mortgage – then part of the interest rate you pay is tax deductible.

Photos: 1. Plattform/Scandinav/Imagebank.sweden.se, 2. Lieselotte van der Meijs/imagebank.sweden.se

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