As Norway heads into 2026, taxpayers are preparing for new updates to income tax brackets. These adjustments impact employees, freelancers, retirees, and investors alike. In this guide, we’ll break down the expected changes in tax brackets for 2026, how they affect personal and general income, and strategies to lower your Norwegian tax liability.
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📌 Why Tax Brackets Matter in Norway
Norway uses a progressive bracket tax system (trinnskatt) on personal income, meaning higher earnings face higher tax rates. In addition to the flat 22% general income tax, the bracket tax ensures contributions scale with ability to pay. Understanding these brackets is essential for planning deductions, investments, and pension contributions.
📌 Current 2025 Bracket Rates
Income Band (NOK) | Rate (2025) |
---|---|
217,400 – 306,050 | 1.7% |
306,051 – 697,150 | 4.0% |
697,151 – 942,400 | 13.7% |
942,401 – 1,410,750 | 16.7% |
Above 1,410,750 | 17.7% |
📌 Expected Adjustments for 2026
While Parliament has not finalized 2026 rates, inflation indexing and policy changes mean income thresholds and contributions will likely rise. Based on discussions, expected adjustments include:
- Income bands raised by ~3–4% to reflect inflation.
- Bracket 1 threshold may increase from NOK 217,400 to approximately NOK 225,000.
- Bracket 2 upper band could reach NOK 720,000.
- High-income brackets may see slight increases in effective rates to support social programs.
- The removal of the additional 5% employer’s contribution (above NOK 850,000 in 2024) may shift more tax planning focus to employee benefits.
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📌 Sample Bracket Projection for 2026
Projected 2026 Income Band (NOK) | Projected Rate |
---|---|
225,000 – 315,000 | 1.7% |
315,001 – 720,000 | 4.0% |
720,001 – 975,000 | 13.7% |
975,001 – 1,460,000 | 16.7% |
Above 1,460,000 | 17.7% |
These numbers are projections and may change when the 2026 National Budget is announced.
📌 Tax Planning Tips for 2026
- Maximize pension contributions before year-end to reduce taxable income.
- Leverage minimum deduction (minstefradrag) and interest expense deductions.
- Plan charitable contributions within the NOK 25,000 cap.
- For high earners, consider deferring income to avoid higher brackets.
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