Income and deductions for companies, 2005

Total assessable income then amounted to NOK 230 billion, or 2 per cent more than in 2004.

Deductions in income

Total deductions in assessable income were almost NOK 150 billion. This was NOK 10 billion less than in 2004. Entrepreneurial deficit made up the largest reduction in deductions, with NOK 7 billion. Total deduction for entrepreneurial deficit amounted to NOK 52 billion in 2005.

Deductions for previous years’ deficit were NOK 4 billion less than in 2004, and were NOK 35 billion. This is still a lot compared with previous years. Transport and communication and real estate and business activities made up 54 per cent of total deductions for previous years deficit. Limited companies without taxable income made up 68 per cent of the deductions for previous years’ deficit, which implies that the deductions to a large extent were used to reduce ordinary income in 2005 to nil. Public owned companies made up 22 per cent of the deductions from previous years deficit, even though they amount to only about 1 per cent of the population.

n addition to entrepreneurial deficit and deductions from previous years’ deficit, paid intra-group contribution also yields large deductions in assessable income. In 2005, total paid intra-group contribution was NOK 58 billion, down almost NOK 2 billion from 2004. Public owned companies amounted for 23 per cent of paid intra-group contribution.

Companies without taxable income

The share of companies without taxable income was about the same as the year before. Half of the limited companies did not have any taxable income in 2005, i.e. their ordinary income was negative or nil. This share has been relatively stable for several years.

Tables:

• Table 1 Tax return account for limited companies. 2004 and 2005. NOK million
• Table 2 Tax return account for limited companies with and without taxable income. 2005. NOK million
• Table 3 Tax return account for public or private owned limited companies. 2005. NOK million