The Government has proposed a temporary tax reduction for income earned in 2021 and 2022. The idea is to compensate those who have low to medium incomes for increased labour costs that may arise as a result of the pandemic.
A person who has earned income higher than SEK 60,000 and lower than SEK 500,000 per year will be able to receive a tax reduction amounting to a fixed sum. Percentage-wise, the reduction in tax will thus be greatest for those with low incomes, and those who earn medium incomes will also receive a reduction.
In the case of earned income between SEK 240,000 and SEK 300,000, the tax reduction will be SEK 2,250, which is the highest amount. For income between SEK 60,000 and SEK 240,000, the tax reduction will be stepped up, and in the case of income between SEK 3000,000 and SEK 500,000, it will be reduced.
The new rules will come into force in 1 December 2021. The Riksdag has voted in favour of the Government's proposal.
The rules are to be used for the first time for the taxation year beginning after 31 December 2020. They will cease to apply on 31 December 2022.