The petroleum activity on the Norwegian Continental Shelf represents a significant part of Norway’s economy, making up around half of its total export and about 21% of the GDP. This guide is an updated edition of the book “Guide to Norwegian Petroleum Taxation” and is aimed at companies involved in oil and gas extraction activities (E&P), as well as for most service providers to the Norwegian E&P companies.
Several changes have been made to the Norwegian petroleum tax system in the last five years, but the system and the tax rate structure have remained stable. Some of the more important changes relate to the treatment of financial costs, simplification and standardisation of licence transfers (Petroleum Tax Act, section 10), introduction of gas contract information, and the introduction of subordinated liability for the seller of a developed licence. In addition, there are constant developments within administrative practice and court practice, not least within the area of transfer pricing.
The guide also covers certain key elements of the general Norwegian tax legislation. KPMG provides one of the most extensive tax and legal services in Norway, and is represented in most of the key cities including Stavanger, Bergen, Trondheim and Tromsø. We also have a large international network, covering oil and gas as well as all other relevant tax and company law issues. KPMG can therefore offer a broad range of services to companies engaged in oil and gas activities, including, but not limited to, all E&P tax issues, direct and indirect tax assistance, personal tax issues, transfer pricing expertise, mergers and acquisitions, company law, contractual and regulatory issues and tax compliance. We have an in-depth knowledge of the industry and the challenges that oil and gas companies (E&P companies), as well as service providers to the E&P companies, will meet in relation to tax and legal issues.