Budget 2027 rewrites company-car tax: 20% of listepris plus engine charge

The government proposes replacing the current standard valuation of private use of an employer's car with a two-component model from the 2027 income yearRegnskapnorgeRegnskapnorge. Today the benefit is 30 % of the car's listepris as new up to NOK 370,300 and 20 % of the excess, with the threshold indexed annually to expected CPI growth; cars older than three years are valued at 75 % of listepris, and special rules apply to extensive business driving and certain vans and lorries. The stated purpose is a more accurate valuation that reflects cost differences between engine types.

The proposed benefit is the sum of 20 % of listepris as new and a fixed holding-cost component set by the ministry in regulationsRegnskapnorgeRegnskapnorge, differentiated for 2027 as NOK 16,200 for electric cars, NOK 22,400 for plug-in hybrids, NOK 28,100 for diesel and NOK 39,700 for petrolRegnskapnorgeRegnskapnorgeRegnskapnorgeRegnskapnorge. The component amounts differ from the May 2026 consultation draft, which proposed NOK 18,100 for electric, NOK 24,200 for plug-in hybrid, NOK 29,900 for diesel and NOK 41,400 for petrol cars; that draft also carried over the current 75 % listepris valuation for cars older than three years, for documented business driving above 40,000 km a year, and the basic allowance for class-2 vans and lorries under 7,501 kg. The budget summary restates the 75 % rule for older cars as current law but says nothing further about the other carry-overs, so employers should check the enacted text for whether they survive.

The same budget proposal rewrites the R&D credit (Skattefunn)Regnskapnorge: for groups, the NOK 25 million cost ceiling would apply to the group as a whole rather than per companyRegnskapnorge, affecting an estimated 50–70 groupsRegnskapnorge and raising about NOK 130 million annually once fully phased inRegnskapnorge, without touching projects already approved by the Research CouncilRegnskapnorge. Costs incurred in the same income year as approval but before the approval date would no longer qualifyRegnskapnorge, and the guarantee that applications received before 1 September are decided on the merits within the income year would be repealedRegnskapnorge. Applications would have to state the required competence and who performs the workRegnskapnorge, include a board-approved financing planRegnskapnorge, face stricter documentation for related-party purchasesRegnskapnorge, lose relief for costs from non-EEA countries without a tax or information-exchange treaty with NorwayRegnskapnorge, and Skatteetaten and the Research Council could exchange confidential information on an ongoing basis, outside individual control casesRegnskapnorge.

On VAT, the electric-car exemption threshold would fall from NOK 300,000 to NOK 150,000 from 1 January 2027Regnskapnorge, with leases signed before that date keeping the NOK 300,000 limit under transitional rulesRegnskapnorge. Documentable single postal consignments to recipients abroad would join the exemption for cross-border transportRegnskapnorge, while stamps and franking marked «Norge» or «Noreg» without a documented foreign recipient stay taxableRegnskapnorge. Municipalities and other compensation-entitled entities would get a three-year deadline to claim and correct VAT compensationRegnskapnorge, replacing the sixth-term annual statementRegnskapnorge, with a five-year amendment window for the authoritiesRegnskapnorge and the auditor-confirmation requirement keptRegnskapnorge.

Legal basis of the proposals described above: skatteloven § 5-13 with FSFIN § 5-13-5 for the company-car model; skatteloven § 16-40 third, fifth and sixth paragraphs for the Skattefunn changes.