Tax breaks boost cleaning firms

The number of cleaning companies in Sweden has risen dramatically since the government introduced tax breaks for home cleaning.

Tax breaks boost cleaning firms
Photo: Rebecca Weeks

During the first seven months of the year, the tax authority (Skatteverket) registered 804 new cleaning companies, compared to 620 in the same period last year and 525 in the first seven months of 2005, according to Dagens Nyheter.

The government’s tax breaks on domestic services were a key element of its election manifesto, and were introduced lat month.

The number of new companies in the care sector has not grown to the same extent, despite being covered by the same tax breaks. So far this year, 229 companies in this sector have been registered, compared to 208 last year and 167 the previous year. The care sector encompasses services ranging from childcare to home help for the elderly.

Tax authority lawyer Pia Blank Thörnros said that many of the people who had founded the new cleaning firms had probably previously worked as cleaners but had now decided to registered their firms with the authorities in order to be able to serve more customers. She said she expected the number of registered firms to increase further in the autumn.