Tax regulations

Taxation rules

Tax liability for individuals who will stay in Sweden for less than six months
Those staying in Sweden for less than six months have limited tax liability. A special income tax called SINK (Särskild inkomstskatt för utomlands bosatta or 'Special income tax for non-residents') applies to taxable income from employment. SINK is a 25% state tax withheld at source. The SKV4350 form is used to apply for special income tax for non-residents. This will normally be done by an HR administrator.

Tax liability for those who stay in Sweden for six months or longer

If an individual remains in Sweden for six contiguous months or longer, the person is normally considered to have unlimited tax liability. They are then liable to pay tax on anything acquired within and outside of Sweden. Further information is available in a brochure by the Swedish Tax Agency called Deklaration och skatter i Sverige ('Self-assessment and taxes in Sweden' – SKV132). 

Taxation for foreign key employees

Tax relief can be granted to foreign key employees who are working temporarily in Sweden on qualified research or development of such an orientation or at such a level of competence that there are significant difficulties in recruiting within the country. 

An application for tax relief must have been received by the Taxation of Research Workers Board no later than three months after the person has started working in Sweden.