(edit title) Experience with "dubbel bosättning" tax deduction? Does it apply to foreigners, too? Options

[elk200]

Hello all,

I will be moving to Stockholm in a few months. I am moving from another EU country and hold that EU countries citizenship. The motivation for my move is a company-internal offer; I will work at our Swedish susidiary then (with a Swedish contract).

As far as I understand, that could make me eligible for the "dubbel bosättning" tax deductions under Swedish tax law. (http://www.skatteverket.se/privat/blankett...a698800061.html) That would, however, surprise me, as I would assume it's supposed to be for Swedish citizens only.

Does any of you other immigrants have experience with dubbel bosättning, and any advice on how to handle the tax issues?

Thanks!

elk200

[Puffin]

I would be surprised if you would be entitled but you could check it out with skatteverket

Usually you need to prove that you need and use both properties on a regular basis and that there are reasons that you cannot move or rent out the other property ie your kids are in school/spouses job remains in the other town etc

[Movedtoswedenandgotstuck]

As far as what I have understood from the "Dubblebosättning" rules it can apply if you are running a household in Sweden which is your primary residence; ie. other partner/family member(s) live there, where you reside there a certain portion of the year; and if you have another temporary residence (work related) over 90km from your primary family residence, or working internationally, where rent or some payment for the accommodation is paid by you (you must not own this second residence), and pay taxes in Sweden you should be entitled to claim the ersättning for living costs and travel once a week to and from residencess. First year you are also allowed to claim a bit extra for initial establishing costs for the first month. You may claim dubblebosättning for 2 years (3 if you ask for an extension). All spelled out at skatteverket and their website.
Although different people have different situations, so this may not be the only case for claiming the ersättning.

The tax return is about 30% of your claimed total.

If you are still confused go into Skatteverket and ask directly. It may take some time to get things explained in detail and what you are able to claim back. The best way would be to make a list of questions on paper and then go ask them. Although any answers given are not fully binding and only a decision is made after you send in your paperwork.

A tax agent might be a good idea to do your taxes the first year and they can explain the finer details.

Good luck.

[Yorkshireman]

Actually it doesn't mention Sweden at-all! And does exclude YOu from owning both places.

The deducation has been put in place for those that have to move because of their work, and covers a period of time for adjustment since it is recognised there are additional costs.

(one of the examples used by Skatteverket is actually someone moving to Oslo for work)

The main point is which place are You claiming for ...if Your primary residence is the original home (ie. Your family still lives there), then You claim for the new place, if you move the family to Sweden, or are single, then Your primary residence is the new one in Sweden, so the claim is for the property outside of Sweden.

The 2 year rule is there as it is recognised that it can be difficult to sell one of the properties, or move the family immediately. Once 2 years have passed, it can only be claimed for exceptional circumstances, ie. The family cannot move etc... and after asking Skatteverket, they may extend it to 5 years.

I suspect You have to be in Sweden for 6+ months, not sure. And since it does not specifically exclude non-Swedish residences, I would tend to believe it IS possible to claim because many changes were made in 2008 with regards EU freedom of movement etc.. and tax liabilities/equality for Swedish/EU residents.

As to what exactly can be claimed, or indeed if it is restricted, just ring Skatteverket and ask .