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Tax implications of renting out a flat

Andra hand

ShaneW
post 5.May.2010, 01:38 PM
Post #1
Joined: 18.Oct.2007

Hi all

As I am taking up a transfer move to the USA from Stockholm, I am renting my flat out for a few years.

I wonder what the tax implications are? I am not making profit on those at all and only charging my mortgage and the BF fees. Is there anything I should be aware of?

Thanks
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Beef
post 5.May.2010, 01:45 PM
Post #2
Location: Stockholm
Joined: 7.Feb.2006

You mean you're thinking of renting out your US flat? Don't tell them in Sweden. I don't think they can find out..There is no tax treaty that I am aware of between USA and Sweden so if you pay tax on the income in the USA and you declare it in Sweden you'll have to pay tax here too.

Hope this helps..
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Beef
post 5.May.2010, 01:48 PM
Post #3
Location: Stockholm
Joined: 7.Feb.2006

Ignore my previous post. Read your transfer the wrong way round. Sorry about that..
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Fishtank
post 5.May.2010, 02:13 PM
Post #4
Location: Västra Götaland
Joined: 25.May.2007

http://www.thelocal.se/discuss/index.php?s...uch+rent+charge
May be you can find something.

Else ring skatteverket.

Here is the link for more info in swedish.
http://www.skatteverket.se/privat/skatter/...8800033479.html

On right hand side you can find a broucher with info on tax implications for you.
Skatteregler för privatpersoner (SKV 330)
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Puffin
post 5.May.2010, 02:32 PM
Post #5
Location: Dalarna
Joined: 5.Apr.2006

Are you thinking of renting to individuals or companies?

If you rent to individuals you are only allowed to charge what similar 1:a hand rentals of a similar size cost in your location - regardless of whether this covers mortgage + BF fees
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sandon
post 5.May.2010, 04:28 PM
Post #6
Joined: 6.Jan.2007

You will be taxed on renting out your flat because as you said you are covering your morgage costs which your receive tax deduction on the interest payed.
So there is the tax income.
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Bender B Rodriquez
post 5.May.2010, 07:56 PM
Post #7
Joined: 25.Mar.2006

QUOTE (Beef @ 5.May.2010, 01:45 PM) *
You mean you're thinking of renting out your US flat? Don't tell them in Sweden. I don't think they can find out..There is no tax treaty that I am aware of between ... (show full quote)

There are tax treaties between the USA and Sweden. Almost all western countries have several tax treaties.
Anyway, even if there were no tax treaty, Sweden taxes Swedish residents globally.
However, since you are a US citizen (or not Swedish anyway), the US tax authorities will not inform the Swedish ones...

EDIT: I also misread the post. You will have to pay tax if you make any profit, but I doubt the tax authorities bother to check such things.
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Furu
post 5.May.2010, 09:39 PM
Post #8
Joined: 16.Jan.2008

QUOTE (Bender B Rodriquez @ 5.May.2010, 08:56 PM) *
but I doubt the tax authorities bother to check such things.

How about if tenant applied some sort of subsidy with FSK.
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Eric Cantona
post 5.May.2010, 10:49 PM
Post #9
Joined: 7.Oct.2007

QUOTE (Puffin @ 5.May.2010, 03:32 PM) *
Are you thinking of renting to individuals or companies?If you rent to individuals you are only allowed to charge what similar 1:a hand rentals of a similar size cost in your ... (show full quote)

...and if renting to a company?
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Bender B Rodriquez
post 5.May.2010, 11:16 PM
Post #10
Joined: 25.Mar.2006

QUOTE (Furu @ 5.May.2010, 09:39 PM) *
How about if tenant applied some sort of subsidy with FSK.

The different authorities do not in general communicate due to privacy laws, e.g. until recently is was no problem to work and get a-kassa at the same time. There has also been numerous cases of people who are on disability benefits but still working since FSK and Skatteverket are not allowed to fully exchange information...
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Furu
post 6.May.2010, 12:03 AM
Post #11
Joined: 16.Jan.2008

But FSK can still access SKVT declaration for the last year.
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ShaneW
post 7.May.2010, 02:18 PM
Post #12
Joined: 18.Oct.2007

Thanks for your responses.

I will rent to an individual. Do you know where I can find out what the local rent should be?
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Bender B Rodriquez
post 7.May.2010, 03:10 PM
Post #13
Joined: 25.Mar.2006

QUOTE (Furu @ 6.May.2010, 12:03 AM) *
But FSK can still access SKVT declaration for the last year.

ANYONE can access the first page of the tax declaration; it is public info.
In this case SKV has to check with FSK, not the other way around, so this will not happen.
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