– When it comes to tax, the government has been concerned that there are some who have endured paying a little more tax. While ordinary working people, there the tax burden should decrease, says Vedum. The message comes on the same day that the government meets for its annual final budget conference at the Prime Minister’s office. Vedum will not reveal exactly how much the taxes will be cut or who will get the biggest relief. – Often when we distribute to many people, the amounts are relatively small for each individual. But it is the direction over time that we are concerned with. SV leader Trygve Slagsvold Vedum wants the country to have fewer differences, and that it should pay to work. Photo: Jan Langhaug / NTB The Finance Minister says the government is keen to have a tax system that stimulates work. – The government has reduced income tax by NOK 8.9 billion in the first years we have governed. We believe it has been necessary and right that it has gone especially to people with low and medium incomes. And we want to continue on that path. Previously, the government defined low and medium incomes as below NOK 750,000 a year. Kari Elisabeth Kaski, from the government’s permanent budget partner SV, fears the tax measure is too small, says the tax cuts must work for ordinary people. – Most people have to get better advice than what they have now. If we are to achieve that, then the tax cuts must actually pay off. It must be such that people notice them, in combination with welfare being strengthened. Kaski fears the government’s new tax measures are too small to reduce the economic differences in Norway. – If there is to be any point in cutting taxes for most people, it must at least be cut enough to be felt in the wallet. Most people must be left with more, through both tax cuts and a strengthening of our welfare, she says. If the differences in Norway are to decrease, taxes for the super-rich must be increased, says SV leader Kari Elisabeth Kaski. Photo: Hanna Johre / NTB – Hjelper ingen The Progress Party’s Hans Andreas Limi acknowledges that it may sound like a lot that the government has cut taxes by NOK 8.9 billion. Hans Andreas Limi (Frp) has little faith that the tax measure will help ordinary people. Photo: William Jobling / news But he claims that history has shown that the sums that accrue to the individual wage earner are not large. – The best year produced regular income of approx. NOK 150 less in tax per month. It does not help anyone in relation to the price increase and high interest rates that they are experiencing now, says Limi. He believes the government should implement significant tax and duty cuts. – The government has implemented historic tax increases. Now they should implement tax cuts, and then they should look at the levy level. – The tax level is perhaps the biggest challenge for those with the lowest incomes, says Limi. No major changes for the business community Vedum tells news that the government is not planning new, major changes in taxes for the business community. But the controversial increase in employer’s tax for everyone who earns more than NOK 850,000 a year will be removed on 1 January next year, he promises. The measure was expected to generate revenues of NOK 7.7 billion on an annual basis, and was introduced by the government in 2023. – This was an extraordinary measure that was taken when the war started in Ukraine. There were some huge expenses that came up. We then announced that it would be temporary and we would remove it as soon as possible, says Vedum. But how it will be covered, and how much they will cost, Vedum will return to. – We will come back to that in the budget, but it will be implemented that we remove the excessively high employer’s tax on high incomes. Published 27.08.2024, at 06.51 Updated 27.08.2024, at 06.55
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Vedum announces new tax breaks – news Norway – Overview of news from various parts of the country
