The home improvement deduction is expanded and the ceiling is raised
From 2021, the ceiling for the RUT deduction is being extended from SEK 50,000 to SEK 75,000 per person and year. While the ceiling is being raised, the RUT deduction is being expanded with new services, such as the transport of household effects and the assembly of furniture.
Deduction for individuals with earned income
For individuals with a taxable earned income of at least SEK 40,000, a tax reduction of a fixed sum of SEK 1,500 per person and year will be introduced.
Changes to tax rules for temporary work in Sweden
The new rule means that persons temporarily working in Sweden on behalf of a foreign employer will not be covered by the 183-day rule in the Act on Special Income Tax for Non-Residents.
The provisions for reducing employer social security contributions for the first employee will be made permanent.
The possibility of a reduction in employers' social security contributions for sole proprietorships that hired their first employee before the end of 2020 continues during 2021.
Tax relief for individuals on the installation of green technology
From 2021, the buyer will receive a direct tax deduction on the invoice when installing green technology, thus replacing previous subsidies. The tax reduction is given for invoiced costs of labour and materials at 15 per cent for the installation of solar cells, and at 50 per cent for the installation of charging points for electric vehicles and for the storage of self-produced energy.
Extended deadline for expert tax
Tax reliefs for researchers, experts and other key personnel have been extended from the first three years to a maximum of five years from the date of their first stay in Sweden.
More information can be found on the Swedish Tax Agency's website.
