Work in Norway

How Cool Company will help you

As a self-employed person in Norway, you will have to register for a work permit, take care of all bookkeeping, advance tax payments and yearly tax returns. This can be quite a lot to figure out in a short time! So, let us give you an overview of how Cool Company could make your life easier:

• We handle all client payments.
• We take care of tax payments and social contributions.
• We issue a paycheck to you every month.
• We will help set up contracts and support you 24/7.

Work permit in Norway

Though Norway is not a member of the European Union (EU), it does belong to the European Economic Area (EEA). With its departure from the EU, the UK also ceased to be a member of the EEA. There, new rules have applied for British citizens who want to work in Norway since 1 January 2021:

• You can travel to Norway for up to 90 days in any 180-day period without a visa.
• If you want to work or stay for more than three months, you must apply for a work permit in Norway.

How to get a work permit in Norway

You will have to apply for a Norway Work Visa, or more precisely a Norwegian residence permit for skilled workers, to both live and work in Norway. As a self-employed person youcan apply for two types of permits:

1. Self-employed with a company in Norway
2. Self-employed with a company abroad

To apply for a work permit in Norway you will have to pay an application fee. You are further required to provide several documents (both in original form and as copies):

• Official work permit application form and checklist,
• CV/resume,
• Passport (including copies of all used pages),
• Two passport photographs,
• Degrees and certifications of your academic qualifications,
• Proof of accommodation in Norway,
• Business plan with budget details

If you are applying for yourself, all documents will have to be handed in in person to the VFS Global visa application centre in London or Edinburgh. They operate as an official partner to the Royal Norwegian Embassy, which in turn will forward your information to the Norwegian immigration administration. If your client is applying for you, they can submit your application and all documents (as copies) to the police or a Service Centre for Foreign Workers (SUA).

Once you arrive in Norway you will have to register with the local police to receive your Residence Card.

For further information on the application process, we recommend checking with the official website of the Norwegian Directorate of Immigration (UDI).

Self-employed person with a company

To qualify for this work permit in Norway you must fulfill the following requirements:

• You must have the intention to set up a long-term business in Norway.
• You must have a business; it should be your own sole proprietorship and cannot be a limited company. You cannot take another work.
• You must have expertise and special qualifications in your field of work.
• You must have a university degree or a certificate of a completed vocational training programme of at least 3 years at upper secondary school level.
• You must have all necessary permits from public authorities required for your type of business.
  
  It can take up to 15 weeks for you to receive the work permit. It will be valid for one year and can be extended; after three years you can apply for a permanent residence permit. Your partner or children (under 18) may apply for family immigration with this permit.

Self-employed person with a company abroad

To qualify for this work permit in Norway you will have to fulfill the following requirements:

• You must be self-employed with an established business in the UK; it should be your own sole proprietorship and cannot be a limited company.
• You must have entered a service contract with a client in Norway.
• You must have a degree from a university or completed a vocational training programme of at least 3 years at upper secondary school level.
• You must have special qualifications relevant to your assignment.
• You must have a professional recognition or authorisation if it is required in your field of occupation.
• You must meet normal Norwegian salary levels.
  
  You might need to wait up to 15 weeks for your work permit to be processed. It will be valid for two years and can be extended afterwards (up to six years). If the assignment is longer than six months, your partner or children (under 18) may apply for family immigration.

Work in Norway from the UK

It is possible to work remotely for a Norwegian company while living in the UK, but to work in Norway from the UK, the Norwegian company needs to be registered in the UK through the Companies House.

When it comes to getting paid in the UK while working remotely for a company in Norway, you’ll need to do a few things first. To start with, you need a bank account in the UK. This account must be with a bank that is regulated by the Financial Conduct Authority (FCA), as banks not regulated by the FCA will not allow you to get paid in the UK.

Working in Norway from the UK remotely does not typically incur any tax obligations in Norway. Tax liabilities in Norway usually arise only if the work is physically performed within the country. When using a UK umbrella company to work for a remote client, you are generally subject to UK employment laws, and the umbrella company handles invoicing and other administrative tasks.

Paying advance tax

It is your responsibility to inform the Norwegian Tax Administration (Skatteetaten) about the profit you expect to make within the year. In doing so you “apply for advance tax”.

If you have already worked in Norway as a self-employed person, you will be sent a tax deduction notice with the amount of advance tax you will have to pay. These calculations are based on your income and tax return from the previous year.

If you are just starting with contracting in Norway, you must register your business with the Norwegian Tax Administration and apply for advance tax. You will then receive a notice with the amount of advance tax you have to pay.

The advance tax is paid in four instalments; the deadlines for paying advance tax can be found on the site of the Norwegian Tax Administration. You will receive payment forms before each due date.

Note: If you are late with one of your payments or fail to pay at all, the complete or remaining advance tax can be charged immediately.

Submitting the Norwegian tax return form

At the end of the income year, all Norwegian sole proprietorships will have to submit a tax return. This informs the tax authorities about the year’s actual profit.

This means: The advance tax you pay is not final! Based on your tax return, the Norwegian Tax Administration will calculate if you are due a tax refund or must pay underpaid tax.

First, you will receive a pre-filled tax return from the Norwegian Tax Administration. This form includes information that the administration has already received about you from banks, insurance companies, etc.

You are then required to check the pre-filled information for correctness. Your tax return must include all details regarding your wealth and income, as well as deductions and otherwise relevant information to your tax assessment. Any missing information must be added to your tax return.

If you do not hand in your tax return within the given deadline, you may be charged an enforcement fine for non-submission. This fine increases daily until the missing information has been submitted.

Note: As a self-employed person in Norway, you are no longer allowed to submit your tax return on paper. All documents must be turned in electronically.

How to register in the Value Added Tax Register

If your turnover within a twelve-month period exceeds NOK 50,000 and you sell products or services that are liable for VAT, you must be listed in Norway’s VAT register. In your tax return to the Tax Administration, you will have to declare how much VAT you have collected as well as paid when buying and/or selling goods and services.

How to get a job in Norway

Many job vacancies as well as contract opportunities in Norway can be found online. The Norwegian Labour and Welfare Administration’s job database “Arbeidsplassen” provides one of the country’s most complete and up-to-date listings. Here you can also register your CV as well as job searches (service only in Norwegian).

Norway’s most in-demand skills

Foreign workers will face a tough competition on the Norwegian job market, with fluency in English not being a decisive advantage. Occupations that are in high demand and where you might find a chance to work in Norway as a contractor are:

• Healthcare and nursing
• Engineering
• IT
• Construction
• Tourism

English-speaking jobs in Norway

While many Norwegians speak English with perfect fluency, securing assignments as a contractor will be a lot easier with some knowledge of the Norwegian language. You may find that large companies use English as their working language. However, the local language is still quite common in the workplace.

What is it like to work in Norway?

When contracting in Norway, you may want to keep in mind that Norwegians work a standard 40-hour week; everything that exceeds these hours is defined as overtime and will usually be paid at a higher rate. On top of that, Norwegians are entitled to at least 25 annual vacation days. Most companies have a flat hierarchy; the dress code is casual.