Remote work isn’t slowing down; more remote workers are embracing a nomadic lifestyle. To attract and support digital nomads, countries are introducing visas that allow independent contractors and remote employees to work and live abroad.
While the majority of countries with visas aimed at digital nomads are from Latin America or Southern Europe, Norway is one of the first Scandinavian countries to have one. With Norway’s independent contractor visa, freelancers from abroad are able to live and work in Norway — with a few requirements, of course.
However, hiring and paying international independent contractors in Norway may come with challenges. That’s why it’s important to work with a platform that guarantees compliance. With Borderless’ all-in-one contractor platform, hiring and paying freelancers in Norway has never been easier.
To learn more about Norway’s visa for digital nomads, the application process, and what employers should consider, keep reading.
At a Glance
- Language: Norwegian.
- Currency: Norwegian Krone.
- Visa length: Two years.
- Possibility to Extend: Yes, up to four years.
- Eligibility: Independent contractors from outside the EU and EEA who have a minimum of one Norwegian client and a minimum income of €35,719.
- Cost: Approximately €600.
About Norway’s Independent Contractor Visa
With Norway’s independent contractor visa, freelancers and digital nomads from throughout the world are able to live in Norway for up to two years. The visa was initially introduced to attract global entrepreneurs. However, with remote work on the rise, many independent contractors and digital nomads are applying for this visa. To be eligible, contractors must have the following requirements:
- Be a non-EU/EEA/Swiss citizen.
- Have at least one Norwegian client.
- A minimum income of at least €35,719 per annum.
Once approved, independent contractors are able to live in Norway for up to two years and are provided with the opportunity to renew it for an additional two years.
Application and Process
The application process for this visa is efficient; approval only takes approximately four months. When applying and attending the visa appointment, the following documentation must be submitted in English and Norwegian:
- Valid passport.
- Copy of passport.
- Proof of income, such as a bank statement.
- Signed contract with a Norwegian client, stating that compensation meets the Norwegian minimum wage, which is approximately €40 per hour.
- Proof of accommodation in Norway.
- Proof of self-employment, showing that the business is a sole proprietorship established outside of Norway.
- Resume and work history.
- The completed application form and application fee (€600).
Submitting the application and required documents can be done in two ways. The most common route is through an appointment at a Norwegian Embassy. For those already in Norway, this can be done at a local police station, but they must prove that they are residing in the country legally at the time.
Independent Contractors and Taxation in Norway
Those living in Norway with the independent contractor visa must apply for a VAT number at the local tax office. The standard VAT rate of 25% is applied to most goods and services in the country. They are required to pay local taxes in Norway, and are responsible for filing and paying their own taxes each year.
However, most independent contractors are sole proprietors, and there are different laws for sole proprietorship. A sole proprietorship in Norway must pay advance taxes. The Norwegian Tax Administration will calculate the advance tax based on the expected annual profit. Contractors will receive a tax deduction notice of the advance tax calculations, and payments will have to be made four times throughout the year: March 15th, May 15th, September 15th, and November 15th.
Employer Considerations
Organizations looking to hire independent contractors on this visa need to be aware of Norwegian labor laws and what independent contractors are entitled to. Independent contractors in Norway are not subject to subordination and are allowed to perform tasks for other clients. If the working relationship has blurred lines, there is the risk of misclassification.
If there is a difference in time zones between the hiring organization and an independent contractor in Norway, the contractor does not need to adhere to set working hours. For instance, if the hiring organization is in Toronto, they cannot expect the independent contractor to work in Eastern Standard Time (EST). Independent contractors in Norway are free to work their own hours and are location-independent.
Embrace Flexibility and Maintain Compliance with Borderless
Many people are opting for the digital nomad lifestyle, and more and more countries are coming out with visas to support them. Norway’s Independent Contractor visa is no exception.
For employers who are interested in recruiting independent contractors from Norway, hiring and paying compliantly doesn't have to be a daunting task. With Borderless, paying independent contractors in Norway is a breeze. Book a demo today.
Disclaimer
Borderless does not provide legal services or legal advice to anyone. This includes customers, contractors, employees, partners, and the general public. We are not lawyers or paralegals. Please read our full disclaimer here.
