Only one Norwegian taxpayer is entitled to tax credits and/or tax exemptions in respect of income from foreign sources. The current tax treaty needs to be reviewed to determine which rules apply. In recent years, the exemption method has been preferred in Norwegian tax treaties, but this is changing, and the new treaties are now based on the imputation method in order to avoid double taxation. The double taxation convention entered into force on 17 December 2013. That`s why we offer a free initial consultation with a qualified accountant who can provide you with answers to your questions and help you understand if a double taxation treaty might apply to you and help you save significant amounts of unnecessary taxes. 1. This Convention shall not affect the tax privileges of members of diplomatic missions or consular representations, in accordance with the general rules of international law or the provisions of special agreements. 1. States Parties shall assist each other in the recovery of tax claims.
This aid shall not be limited by Articles 1 and 2. The competent authorities of the States Parties may, by mutual agreement, regulate the application of this article. Although relatively common, the application of double taxation treaties and, therefore, the right to tax relief can be a complex issue. The agreement also contains specific provisions to avoid double taxation of production profits from certain oil and gas deposits in the North Sea, which extend along the demarcation line between the United Kingdom and the Norwegian continental shelf (Articles 24 to 27). It is much more common to use the services of a qualified accountant who is experienced in applying for tax relief through double taxation treaties. Fees vary depending on the complexity of a person`s personal circumstances, in almost all cases, tax savings exceed the costs of using an accountant – and they can be sure to pay the right amount of tax with absolute confidence. If you are considered a tax resident in two or more countries, it is important to understand possible tax breaks through double taxation treaties 2. To the extent that, by virtue of tax privileges granted to members of diplomatic and consular missions in accordance with the general rules of international law or the provisions of special international agreements, income or capital gains are not taxable in the host State, the right to taxation shall be reserved to the sending State. (ii) in the case of Norway, an undertaking entitled to conclude pension contracts under national rules and under the control of the Norwegian Financial Supervisory Authority (Finanstilsynet). 3. The competent authorities of the Contracting States shall endeavour to establish by common accord any difficulties or doubts which arise in the interpretation or application of the Convention. They may also consult each other on the elimination of double taxation in cases not provided for in the Convention.
3. Where a State Party, in accordance with paragraph 2 of this article, adjusts the profits attributable to a permanent establishment of an enterprise of an enterprise of a Contracting State and taxes proportionately the profits of the enterprise that have been taxed in the other State, the other Contracting State shall, to the extent necessary for the elimination of double taxation, make an appropriate adjustment if it agrees with the adjustment made by the first-mentioned State; If the other State Party does not agree, the States Parties shall by mutual agreement eliminate the resulting double taxation. . . .