A government-appointed committee has proposed that Norway simplify the taxation of pensioners in a wide-ranging set of proposals.
The tax committee, chaired by the chairman of the Norwegian Financial Services Association, Arne Skauge, has proposed changes that it says will affect the poor and pensioners. The committee was set up in January 2002 “to propose changes within the scope of an eight to 10bn kroner (E1.1-1.3bn) net tax reduction”.
“The objective is to reduce average and marginal tax rates on lower range labour income, to make it more profitable to receive wages as opposed to welfare payments, as well as to simplify the structure of allowances and the taxation of pensioners,” says the committee.