Tax Glossary

Swedish tax terms explained in English

A-skattEmployment tax

Tax withheld by employer from salary each month based on tax tables.

ArbetsgivaravgiftEmployer contribution

31.42% social fee paid by employer on top of gross salary.

BrytpunktTax breakpoint

Income level where state tax begins. 660,400 SEK/yr for 2026.

EgenavgifterSelf-employment fees

28.97% social contributions paid by sole traders on profit.

Enskild firmaSole trader

Simplest business form. No separation between personal and business assets.

F-skattBusiness tax certificate

For self-employed. You pay your own tax instead of employer withholding.

GrundavdragBasic deduction

Automatic tax-free portion of income. Varies 17k-45k SEK/yr.

ISKInvestment savings account

Tax-efficient account with flat annual fee instead of per-trade tax.

JobbskatteavdragWork tax credit

Tax reduction for workers. Up to ~4,366 SEK/month for 2026.

MomsVAT

Value-added tax. Standard 25%, food 12% (6% from Apr 2026), books 6%.

NE-bilagaSole trader tax form

Business attachment filed with Inkomstdeklaration 1.

PeriodiseringsfondTax allocation reserve

Defer up to 30% of profit for 6 years. Interest-free state loan.

PersonnummerPersonal ID number

YYYYMMDD-XXXX. Essential for banking, healthcare, tax filing.

RantefordelningInterest allocation

Move income from business (~60% tax) to capital (30%). Rate: 8.55%.

SkiktgransState tax threshold

643,000 SEK/yr for 2026. Income above pays 20% state tax.

SlutskattebeskedFinal tax statement

Skatteverket's final calculation: refund or residual tax.