Taxes and contributions for tenant-owner associations
If the tenant-owner association has income other than that belonging to the property, it must be reported for taxation.
A tenant-owner association is taxed either as a private housing company or as a non-qualified housing company. A private housing company is a Swedish economic association (or limited company) for which at least 60 percent of the activities consist of provide its own members (co-owners) housing in buildings owned by the association (limited company). If these requirements are not met, the association is considered a non-qualified housing company.
Taxation of tenant-owner associations at the Swedish Tax Agency
Taxation
A private housing company is not taxed on income related to the property, such as monthly fees, or earnings from rentals, advertising space or antenna space. Interest income is not taxable, and interest expenses are not deductible to the extent that they relate to the association's property.
If a private housing company has other income, this must be declared and taxed. Such income may include food services, car pools, exercise facilities or a café.
A non-qualified housing company is taxed according to the standard rules for business activities.
Calculate your tax
The Swedish Tax Agency's tax calculator helps you estimate how much income tax your tenant-owner association will have to pay. Please note that the calculator is not exhaustive but gives an approximate result.
F-tax
An economic association that conducts business activities can be approved for F-tax. If the association is approved for F-tax, this means that it pays its own taxes and fees to the Swedish Tax Agency. For the association's clients, approval for F-tax is proof that they do not have to deduct tax on remuneration. You can also use the e-service to register the association for VAT and as an employer.
Apply for F tax, register for VAT and as an employer
Register via form
If you are unable to use the e-service, you can apply for approval for F-tax using a paper form instead. The same form can also be used to register the association for VAT and as an employer. The form must be submitted to the Swedish Tax Agency.
Swedish Tax Agency's form for company registration, SKV 4620 (in Swedish)
VAT
In some cases, a tenant-owner association is liable to report VAT. This is the case, for example, if the association conducts parking activities or if the association is voluntarily liable for tax on the rental of business premises.
The VAT must be declared in a VAT return. The VAT return must be submitted once a quarter for associations with a VAT-taxable turnover that is less than SEK 40 million per tax year. However, it is possible to apply to be allowed to report VAT monthly instead. A tenant-owner association is not allowed to charge output VAT on the housing fees. Similarly, the association is not entitled to deduct input VAT on costs paid by the association.
The transfer and letting of tenant-owned property and rental property have been exempted from VAT. The exemption also covers any supply by the association of gas, water, electricity, heating and network equipment for the reception of radio and television broadcasts, if this is included in the right of use.
Taxation and VAT on the Swedish Tax Agency's (in Swedish)