Sweden

Corporate - Other issues

Last reviewed - 06 July 2020

United States (US) Foreign Account Tax Compliance Act (FATCA)

On 8 August 2014, Sweden signed a Model 1A FATCA agreement with the United States. The intergovernmental agreement (IGA) has been implemented through legislative means that entered into force as of 1 April 2015.

EU state aid

There is no Swedish-specific legislation regarding EU state aid.

Base erosion and profit shifting (BEPS)

Amendments to the Swedish tax legislation due to the BEPS action points, such as implementation of rules regarding hybrid mismatches in respect of the EU Anti-Tax Avoidance Directive (ATAD), are currently being prepared by the Swedish government. In addition to newly adopted hybrid mismatch rules entered into effect 1 January 2020, the Swedish government has proposed extended hybrid mismatch rules covering certain transparent companies (so-called reverse hybrid mismatches). The reverse hybrid mismatches rule is proposed to enter into force on 1 January 2021, and to be applied for the first time for fiscal years beginning after 31 December 2020.

Please also see Interest expenses in the Deductions section.

Common Reporting Standard (CRS)

In accordance with the OECD’s CRS and EU Directive DAC 2, certain financial institutes are obligated to report certain financial information to the Swedish Tax Agency. The first year for submitting the CRS control data is 2017 (regarding financial year 2016).