The share savings account came in 2017 and originally the deadline for tax-free transfer to a share savings account expires at New Year 2018. Now, however, the Storting has decided to extend the deadline until 2019. This is something we at Noon Invest are very positive about, as the figures still show has transferred its shares to a share savings account.
Why create a share savings account?
If you save in either equity funds or shares, you should have a share savings account. The account gives you the freedom to exchange shares and funds without taxing the gain.
If you find the concept a little difficult to understand, you can think of a share savings account as a sack where you collect all the equity funds and shares you have bought. As long as you keep the investments within this bag, you can, for example, sell shares that have increased in value, without paying tax for it. You can use this deferred tax to invest in new shares and / or equity funds. Take a look at the video below for a simple and good.
Frequently asked questions in connection with share savings account (taken from our collaboration
Q: Can all shares and mutual funds be placed in this account?
A: All listed shares domiciled in the EU / EEA can be placed in the Share Savings Account. This also applies to equity funds. The funds must also have an equity ratio of at least 80%. Fixed income funds or funds with a larger interest rate share do not fall within the scheme.
Shares that are not domiciled in the EU / EEA can therefore not be placed in the Share Savings Account. Frontline is among the shares that cannot be included in the share savings account, as they are registered in Bermuda. The identification code (called ISIN) on the share may give an indication of the company's home country. You can find this under the company information on the stock exchange's page, such as Frontline, where ISIN is BMG3682E1921. A Norwegian-registered share has ISIN which starts with the letters NO. (Note: the same logic does not apply to fixed income securities, but they are also not included in the Share Savings Account. You must also double check with your provider if a share is within / outside the EEA).
If you own unlisted shares, shares on the OTC list or on Merkur Market, they are not considered listed and cannot be included in the Share Savings Account.
Q: Is it true that I can withdraw my deposits from the share account without paying tax?
A: Yes, that's right. It is only the gain you have to tax on withdrawal from the account.
Q: Who should establish a Share Savings Account?
A:All personal taxpayers who invest in shares and mutual funds, or plan to invest in shares or mutual funds, should establish a Share Savings Account.
Q: What is the benefit of transferring my existing shares and mutual funds to the long-term equity savings account?
A: If you choose to transfer your shares and mutual funds to the long-term share savings account in connection with the transitional rule, you will not have to pay tax on gains. This is an advantage if you have high latent winnings. You thus get the opportunity to reinvest your winnings without being taxed before the winnings are taken out of the account. Both the gain you have already earned and the gain your portfolio gives you in the future. After the transitional rule expires, you will have to realize the gain and tax it before the funds are transferred to the share savings account. Losses should not be transferred to a share savings account.