[ad_1]
READY TO PARTY: Minister of Finance Jan Tore Sanner (H). Photo: Frode Hansen
Jan Tore Sanner (H) puts on his pants: the quantity limit for employer tax-free gifts increases from 2,000 to 5,000 crowns.
In the state budget, the government will also propose that the total limit for tax-free gifts and discounts for staff be increased from NOK 10,000 to NOK 13,000.
– In addition, the influenza and pandemic vaccines offered by the employer will be tax-free for everyone in 2021, says Finance Minister Sanner to VG.
It costs 450 million
It states that the changes have a total cost to the state of NOK 450 million.
As examples of tax-free gifts that companies can give their employees, the Minister points to a subscription to a gym, a bicycle or a monthly pass for public transport.
The discount limit for staff in working conditions is set at approximately NOK 8,000.
– But if you only get discounts and no gifts, the tax-free amount for discounts and gifts for staff can be combined, so that you can receive values of up to 13,000 NOK in total.
Sanner thinks of airline employees who receive airline tickets or employees of public transportation companies who receive an annual bus pass from their employer.
TRAINING: A gym for around NOK 400 per month will now be within the gift limit that employers can give their employees tax-free. Photo: Kyrre Lien / NTB
No tax on small Christmas tables
The Minister also opens for small tax-free wreath Christmas tables. It happens after Roy Steffensen (Frp) at the Storting told about Rogaland Elektro’s unpleasant meeting with the tax authorities.
The power company with 85 employees in Randaberg, near Stavanger, canceled the Christmas table due to the corona pandemic and would instead give gift cards to employees at a restaurant.
It was Stavanger Aftenblad who first brought up this case.
The tax authorities said no, because gifts worth more than NOK 2,000 create a tax liability. If the Christmas table had been a joint event, it would have been tax-free.
– We have announced that this year’s Christmas dinner for smaller groups will not be taxable. It’s good for employees and good for struggling restaurants, says Sanner.
This applies when the employer takes the invoice or gives a gift card in a restaurant for a group of co-workers, as a result of the traditional Christmas table cannot be arranged.
– An adaptation to the corona pandemic, explains Sanner and emphasizes that the Christmas dinner must be kept within the guidelines of distance and number of people who can meet.
Understand that employers want to facilitate traditional wellness measures, such as Christmas dinners, to strengthen wellness and connection to the workplace at a difficult time.
STEAK MEAT: Open to coworkers to go out to dinner together tax-free, because the corona pandemic makes it difficult for the entire company to have a Christmas table. Photo: Krister Sørbø
Simplify the rules
The Ministry of Finance will also review the tax administration guide with a clear purpose:
– We want to simplify gift and discount reporting. The answer of companies is that today it is too complicated. It has been a nuisance to many, says Sanner.
The minister also says that when the borders are made wider, it will not be necessary for tax purposes to register everything that is given as gifts and discounts, as long as the company remains well within.
In principle, any economic benefit that employees receive in the employment relationship is taxable, regardless of whether it is a salary or benefits in kind.
Gifts and affordable wellness measures are exceptions to this general rule.
