Doing Business In Sweden - Taxation

Principal Taxes

Sweden enacted a major tax reform with effect from January 1,1991, and since then there has been several conforming adjustments of the tax system . The tax reform broadened the tax bases for both corporate and individual income tax purposes at the same time as the nominal income tax rates were reduced. The current corporate tax rate in Sweden is one of the lowest in Western Europe. The 1991 tax reform also broadened the tax base for the value-added tax.

Direct Taxes

The following direct taxes are levied in Sweden:
- Corporate national income tax at a nominal rate of 28% for 1995, levied on companies based on the results reported in their annual statutory accounts with certain adjustments for tax purposes;