Cheaper electricity, cheaper kindergarten, and less tax for everyone who earns less than NOK 750,000 kroner – these are some of the changes the government wants to make to the 2022 state budget.
“It is pleasing to be able to present this state budget, which marks a new course for our country. All the big numbers in a state budget are ultimately about people’s everyday lives,” Minister of Finance Trygve Slagsvold Vedum (SP) said on Monday when he presented the government’s changes to the state budget for next year.
The Labor Party and the Center Party must negotiate the budget with the Socialist Left Party (SV) to get it through the parliament, so the proposal can still change. But now, a direction is being pointed out. If the government gets what it wants, it will be cheaper to commute, use electricity and have children in kindergarten.
* Two out of three taxpayers will have lower taxes. This group has an average gross income of about NOK 480,000 and will receive about NOK 1,500 lower tax. 20% of taxpayers will receive approximately unchanged tax, while 13% will receive increased tax. Among those who receive increased tax, the average increase is about NOK 12,300. This group has about NOK 990,000 in average gross income.
* In the winter months, from January to March, the electricity tax will be cut by about 48%. The rest of the year it will be cut by about 9%. That means a 10 øre lower fee per kilowatt-hour in the winter, which can mean a few hundred kroner saved for a household.
* From the New Year onwards, ferry prices throughout the country will be cut by 30% compared with prices from January 1, 2021. In addition, it will be free to travel by ferry to small islands and coastal communities.
* The maximum price in kindergartens will be reduced from NOK 3,315 to NOK 3,050 per month.
* The CO2 tax will be increased by 28%, as the Solberg government also proposed. At the same time, the road use fee and the traffic insurance fee will be reduced to compensate for this. The latter measure means NOK 0.31 cheaper diesel per liter and NOK 0.28 cheaper petrol per liter compared with the proposal of the Solberg government, where the CO2 tax was also increased.
* In total, taxes will be reduced by NOK 2.3 billion kroner compared with the Solberg government.
* Anyone who is a member of a trade union can receive a larger tax deduction. The trade union deduction will be increased from 3,850 to 5,800 kroner.
* The commuter scheme will be strengthened by lowering the bottom deduction to 14,000 for all commuters.
* The so-called Finnmark deduction will be increased by 16%, to NOK 18,100. This means less tax for everyone living in Finnmark and North Troms.
* It will become more expensive to buy a car. The so-called one-off tax will be increased for petrol cars and hybrid cars. A re-registration fee for electric cars and a full traffic insurance fee for electric cars will also be introduced.
Source: © NTB Scanpix / #Norway Today / #NorwayTodayFinance
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