Running a Business in Norway
Registration
- Does a foreign company need to register a business in Norway?
Yes, if a company provides services in Norway or posts employees there, it is generally required to register. In practice, this means obtaining a Norwegian tax identification number (organization number) from the Brønnøysund Register Centre.
- What is an organization number (organisasjonsnummer) in Norway?
It is a unique identification number for a company in Norway. It is required for issuing invoices, signing contracts, and communicating with authorities.
- Does a short-term contract in Norway require company registration?
Yes, even short-term assignments may trigger a registration obligation. The key factor is whether work is actually performed in Norway.
- Where are contracts registered in Norway?
The client registers contracts with foreign subcontractors in the Assignment and Employment Register (Oppdrags- og arbeidsforholdsregisteret).
OAR (Oppdrags- og arbeidsforholdsregisteret) is a Norwegian register containing information about assignments and employment relationships. It is used to report employee and employment data to authorities.
- What is the difference between a D-number and a national identity number (fødselsnummer)?
A D-number is a temporary ID for individuals staying in Norway short-term. A fødselsnummer is a permanent ID for residents.
- What is a virksomhetsnummer and when is it required?
It is a sub-entity number assigned to a business unit. It is required, for example, when employing staff and reporting to authorities.
VAT and Taxes
- When must a company register for VAT (MVA) in Norway?
The obligation arises when turnover exceeds NOK 50,000 within a 12-month period. After registration, the company must charge and report VAT.
- How often are VAT returns submitted in Norway?
Typically every two months, although alternative reporting periods may apply in certain cases.
- Does a foreign company need to account for VAT in Norway?
Yes, if it provides taxable services or sells goods in Norway. In many cases, VAT registration is required.
Accounting and Compliance
- Is accounting mandatory in Norway?
Yes, most companies must maintain accounting records in accordance with Norwegian regulations using compliant accounting systems.
- What is årsregnskap in Norway?
It is the annual financial statement submitted by companies (e.g., AS). It summarizes the company’s financial activity.
- When does a company need an auditor in Norway?
This depends on the size and legal form of the company. Small companies may be exempt if they meet specific criteria.
- Can invoices be issued in Excel or Word in Norway?
No, regulations require the use of compliant accounting systems. Invoices must be properly recorded and archived.
- Do foreign companies operating in Norway have to submit a tax return (skattemelding)?
Yes, if they conduct business in Norway. However, certain conditions may allow exemption.
Employees and Employer Obligations
- Can employees from Poland work in Norway?
Yes, but the employer must fulfill all obligations, including registration, reporting, and tax compliance.
- Is there a minimum wage in Norway?
There is no universal minimum wage, but many industries have mandatory minimum rates based on collective agreements.
- What is A-melding and is it mandatory?
A-melding is a monthly report on salaries and employment. It is mandatory for all employers.
- Does a foreign company need to hire employees in Norway?
No, foreign companies operating via a branch (NUF) can post employees from their home country.
Health and Safety (HMS)
- Is health and safety (HMS) training mandatory in Norway?
Yes, especially for business owners and management. The scope depends on the type of business.
- Who is a safety representative (verneombud) and when is it required?
A verneombud represents employees in safety matters. It is mandatory in companies with at least 5 employees.
The Working Environment Committee (Arbeidsmiljøutvalg) is required in companies with more than 30 employees. It includes representatives of both employer and employees.
Insurance
- What insurance is mandatory for employers in Norway?
Employers must have occupational injury insurance (yrkesskadeforsikring) covering all employees.
- When is occupational pension (OTP) required?
The obligation arises when employees meet certain conditions. It applies to most companies with staff.
Hiring-Out of Labour
- Must a staffing company be registered in Norway?
Yes, companies providing temporary staff must be registered in the Register of Staffing Enterprises (Bemanningsforetaksregisteret).
- Is there a register of staffing agencies in Norway?
Yes, companies must be registered with the Norwegian Labour Inspection Authority (Arbeidstilsynet). Lack of registration makes the activity illegal and may result in bans and penalties. This also applies to foreign companies.
Beneficial Owners
- Is it required to report beneficial owners in Norway?
Yes, most companies must report beneficial owners to the Register of Beneficial Owners (Register over reelle rettighetshavere). This applies to individuals who ultimately control the company.
Additional Practical Information
- What is StartBank and is it mandatory?
StartBank is a supplier register used by large companies in Norway. It is not mandatory but often required by clients.
- Is a lunch break paid in Norway?
It depends on working conditions. If the employee cannot freely leave the workplace, the break is usually paid.
- Does every company in Norway have to join a trade union?
No, companies are typically required to engage with unions when employees establish a union and elect a representative (tillitsvalgt).
It is the Norwegian Directorate for Civil Protection, responsible for recognizing qualifications of electricians from outside Norway.
A skattekort determines how tax is calculated for an individual in Norway. It depends on expected income and other factors. Employees must apply for it when starting work.
- What is PAYE (kildeskatt)?
It is a simplified tax scheme for foreign employees. Under PAYE, the employee does not submit a tax return but cannot claim deductions.
