Skatteetaten detected incorrect deductions worth more than NOK 2 billion

The Norwegian tax authority says this is one of the most serious audit cases in years. The agency uncovered organised abuse, and in one of the cases under investigation it is reviewing the tax returns of around 400 people. In Bergen, a man suspected of helping others commit tax fraud has been remanded in custody. According to the latest information provided by NTB, the disputed deductions exceed NOK 2 billion in total, while their tax value is approximately NOK 500 million. The first figure represents the total of incorrect deductions entered in tax returns. The second shows how much they may have reduced the tax payable. The figures concern the entire audit operation conducted by Skatteetaten.

Bergens Tidende reported that the agency is reviewing the tax returns of around 400 people from different parts of the country. According to the newspaper, most of them are of Somali origin. It is not yet known how many people knowingly provided false information. The wider operation includes, among other things, deductions related to finances, travel expenses and cryptocurrencies. Skatteetaten is also examining changes made to previous tax returns. As early as June, the agency reported that it had identified people who, for a fee, helped others enter incorrect or fictitious deductions.

In Bergen, police arrested a man at Flesland Airport on suspicion of serious tax fraud. He had a one-way ticket to Turkey. The court remanded him in custody for four weeks, citing the risk of influencing witnesses or leaving Norway. According to police findings reported by Bergens Tidende and NTB, the man allegedly helped 13 people obtain deductions totalling nearly NOK 15 million. The tax benefits were said to have exceeded NOK 3 million. After Skatteetaten paid out the money, a total of around NOK 400,000 was allegedly transferred to the suspect's account by those individuals. The man denies any wrongdoing. According to his defence lawyer, he claims that he himself was deceived.

According to information provided by Skatteetaten to Bergens Tidende, five cases involving people who assisted in the abuse and 12 cases involving individual taxpayers have so far been referred to the police. The agency says further reports will follow. People who benefited from undue deductions must expect to repay the money with interest. Skatteetaten may also impose an additional tax penalty, known as tilleggsskatt. It usually amounts to 20 per cent of the tax benefit, but in particularly serious cases it may reach a total of 60 per cent. The penalty is calculated on the tax that was avoided or that someone attempted to avoid.

For Poles filing tax returns in Norway, the rule is the same: the taxpayer is responsible for the information in the return, even if it was prepared by someone else. The amounts entered must reflect the actual situation and the rules for the relevant deduction. A promise of a high refund does not replace documents confirming entitlement to a deduction. Errors can be corrected. As a rule, Skatteetaten allows tax returns to be amended independently for up to three years back. However, if a return has already been selected for an audit, a correction does not guarantee avoidance of an additional penalty. MultiNOR advertisement Unsure what you can deduct in your tax return? MultiNOR helps Poles prepare documents, file and correct tax returns, and contact Skatteetaten. Check out MultiNOR's help with filing your tax return. Sources: Skatteetaten, Bergens Tidende / Aftenposten, NTB.