Generally
The shares have been issued in connection with equity loans. The shares are therefore to be seen as co-ownership rights for taxation purposes. This means that, in general, the tax rules for market-listed part-ownership rights must be applied.
individuals
Holdings in Investment savings account ISK
Holdings in an ISK account do not entail any taxation when buying/selling shares. Instead, an annual tax is paid based on the total value of assets in the ISK account, regardless of whether the sale results in a capital gain or capital loss. Capital gains or capital losses on assets held in an investment savings account are not declared.
The tax on the ISK account is based on a standard income, calculated on the total value of the assets in the account. This is the basis for how much tax must be paid for the holdings in the investment savings account each year. The standard income can be seen from the control information provided by your bank and is pre-filled in your declaration. The tax you must pay is 30 percent of the standard income.
In other words, you do not pay tax on individual capital gains, dividends, interest or other returns that you receive from the assets you have in the account. You can also withdraw money from the account without having to pay tax on the amount withdrawn.
Holdings in regular Depot
Redemption of the shares (procedure before closing)
Redemption of shares entails a capital gain or capital loss calculated on the basis of the redemption amount minus the average acquisition value of shares sold. Any capital loss on the shares can be set off against capital gains on other co-ownership rights. Taxation takes place in the income type capital.
Repayment of capital (Procedure after closing on May 26, 2023, number of shares is the same)
Repayment of capital made since the fund was closed must be seen as an amortization of the outstanding equity loan. The repayment does not entail any withdrawal of shares, but the number of shares will remain the same. The value of the units decreases in line with the repayments that are made. Capital gain or capital loss will only arise on the day the units are withdrawn and will then be equal to the liquid paid out minus the acquisition value reduced by amortizations received.
Sales over the stock exchange
Selling shares over the stock exchange is to be equated with redemption. Capital gain or capital loss is calculated in the same way as when shares are redeemed, i.e. sale price minus average acquisition value for the shares.
Holdings in occupational pension insurance
Capital gain or capital loss within the insurance does not entail any taxation. When the insurance has started to be paid out, the payments are taxed as ordinary salary in the income type service.
Holdings in capital insurance
Capital gain or capital loss within the insurance does not entail any taxation. The policyholder is instead charged with an annual return tax, based on the value of the policy at the beginning of the year plus deposits made during the year. The tax basis amounts to 30 percent of the calculated value multiplied by the government loan interest on November 30 of the previous year plus 1 percent, but never lower than 1.25 percent.
The insurance company (if it is a Swedish company or if the insurance business is otherwise conducted in Sweden) or the policyholder himself (if it is a foreign endowment insurance) pays the return tax.
Business
Company-owned capital insurance
Savings in a company-owned capital insurance policy are free from corporation tax. Capital gain or capital loss within the insurance is not taxable or deductible. The company is instead charged with return tax on an annual basis. The tax is based on the value of the account on January 1 and the deposits made to the account during the course of the year. The deposits made during the first half of the year count for 100 %, but the second half year deposit only counts for 50 %.
The amount obtained by adding the value of the account and the deposits in the account is then multiplied by the government loan interest plus 1 percent, but never lower than 1.25 percent. Then the totaled amount is multiplied by 30 %.
The insurance company (if it is a Swedish company or if the insurance business is otherwise conducted in Sweden) or the policyholder himself (if it is a foreign endowment insurance) pays the return tax.
Possession in regular depot
Redemption of the shares (procedure before closing)
Redemption of shares entails a capital gain or capital loss calculated on the basis of the redemption amount minus the average acquisition value of shares sold. Capital loss on the shares can be offset against capital gain on other co-ownership rights. If the company qualifies for trading in securities under tax law, the loss is deductible against all other income in the company.
Taxation takes place in the business income type, whereby corporation tax amounts to 20.6 %.
Repayment of capital (procedure after closing on May 26, 2023, number of shares is the same)
Repayment of capital made since the fund was closed must be seen as an amortization of the outstanding unit loan as the repayment does not entail any withdrawal of units. No capital gain/loss is calculated. Realized capital gain or capital loss only arises on the day the shares are withdrawn and is then equal to the cash paid minus the acquisition value reduced by amortizations received. Taxation takes place in the business income category with a corporation tax rate of 20.6 %.
Impairment of the holding, because the holding valued at the NAV rate is lower than
the acquisition value minus amortizations received, is not deductible for the company, if the company does not qualify for trading in securities under tax law.
Sales over the stock exchange
Selling shares over the stock exchange is to be equated with redemption. Capital gain or capital loss is calculated in the same way as when shares are redeemed, i.e. sale price minus average acquisition value for the shares. Any capital loss on the shares can be set off against capital gains on other co-ownership rights. If the company qualifies for trading in securities under tax law, capital loss is deductible against all other income in the company.
Taxation takes place in the business income category, whereby the corporate tax rate amounts to 20.6 %.
The above does not constitute any tax advice but only general information regarding Swedish tax rules. Special tax rules apply, for example, to certain types of legal entities and if the shares are included in securities trading. Shareholders are requested to, based on this individual situation, obtain information from tax advisors and/or accountants regarding tax and accounting consequences.
