When a person has unlimited tax liability/is a resident in/of Sweden and has assets abroad that generates income, the person is usually obliged to report this in the income tax return under Swedish Tax Law. Incorrect information in the income tax return may consist of wrongful information or a failure to submit necessary information. The potential consequences of submitting incorrect information may include adjustment of your taxable income, tax surcharges, and criminal charges against the taxpayer.
You may avoid this by making a voluntary disclosure of your previous incorrect tax returns. This means that you on your own initiative may request a review of your previous tax returns. The information provided in the voluntary disclosure must be so complete that the Swedish Tax Agency can make a correct decision based on the information provided. If the voluntary disclosure is not on your own initiative, which means it is made after you have reason to believe that the Swedish Tax Agency has detected or will detect the incorrect information you have provided in your income tax return, the Swedish Tax Agency could levy tax surcharges or charge you for tax evasion.
The voluntary disclosure may relate to incorrect information concerning the income tax returns for previous six income years. A reported voluntary disclosure to the Swedish Tax Agency during the year 2021 can only correct previously reported incorrect information from the income year 2015 and onward.
Below you will find an example on how one could make a voluntary disclosure where you are guided step by step. The example is based on the assumption that you have capital assets (e.g. cash, funds or shares) on an account abroad and you have failed to include these in the previous Swedish tax returns.
You may also have unreported assets and revenues of a more complex nature. If so you are recommended to contact the Swedish Tax Agency by telephone (see information below) before you submit your voluntary disclosure. Examples of such assets and incomes include:
Your request concerning the voluntary disclosure must be complete for the Swedish Tax Agency to process it. If anything in the correction is incomplete or unclear you will be contacted before the Swedish Tax Agency makes a decision. There will be a separate decision for each tax year.
Always start by making a request to the bank that manages your assets for the documentation of your assets correction (e.g. bank statements or similar documents).
Report information concerning your earnings for calendar year 2020 (income year 2020) in your tax return for 2021. For more information concerning the tax return for 2020, please see below under the heading “Income tax return 2021”.
After receiving the information from your foreign bank, you will need to make a summary of your income, gains, costs and losses from the assets abroad.
This is one way of summarizing the information. Below the table is an explanation of the different entries.
Standard yield tax on foreign life/capital insurance
|Surplus from CFC|
|Total costs and expenses:|
|Foreign withholding tax|
|EU withholding tax|
|Year and value (SEK) |
If you have had any Swedish shares in your foreign account, the disburser may have made a deduction of the Swedish tax on dividend. If so, you can't make a settlement request with your voluntary request. You should instead make a claim for repayment of the Swedish tax on dividend on the official tax reclaim form “Claim for repayment” (SKV 3740). The form will be sent to the unit handling the claim. Address: Skatteverket, SE-116 81 Stockholm, SWEDEN.
Finally, write a letter in which you request reassessment of your previous tax returns. Your letter should indicate:
You should also enclose a document which shows how you came up with the amounts you report. You may for example include a K4 form and an annual summary for each current year. You do not have to submit all the information from your foreign bank, but you should have them available if the Swedish Tax Agency would ask for them.
If your assets have been managed through a foreign trust or foundation, you should include documents such as the Declaration of Trust and/or the foundation charter, and any supplementing documents of the trust or foundation (such as by-laws, letter of wishes and/or assignments if someone else has formed the foundation on your behalf). If your assets have been managed through a CFC that has been liquidated, please provide supporting documents that shows a liquidation has occurred and how you have calculated the capital gain or loss.
If your voluntary disclosure contains estimated amounts, you should clearly state this.
The reason why the voluntary disclosure should contain all of this information is that the Swedish Tax Agency should be able to distinguish the reported return on foreign assets as you correct from other income and expenses.
Sign the voluntary disclosure. If you have an authorized representation concerning the voluntary disclosure, a signed power of attorney must also be attached to your voluntary disclosure.
Send the voluntary disclosure via regular mail to the Swedish Tax Agency office you belong.
If you have been informed of a decision that there is additional tax to be paid, the tax has to be paid not later than on the due date next falling after 30 days have elapsed since the date of the decision. The due date is shown on the decision. Low interest expense is also charged from the 13th of February from the year of assessment until when the additional tax is paid.
If you receive a tax refund because of the decision from the Swedish Tax Agency, you will be credited for the interest income. The interest will be calculated daily on the current balance. The interest income is tax free and the expense interest is not deductable. A statement of account will be attached when you receive the decisions about your correction.
If you had foreign income during the calendar year of 2020, this should be included in your tax return. You should also submit relevant forms (e.g., the K4 form). Next to the box “Övriga upplysningar” (“Additional information”), check the box for ”utländska tillgångar” (”foreign assets”) and write whether you request settlement for foreign taxes. You may write a comment under the box “Övriga upplysningar” that you include income from assets abroad in your tax return and that you have made a voluntary disclosure for previous years.
If you have received your Final Tax Statement (“Slutskattebesked”) for 2020, you should request a voluntary disclosure instead of making a supplement to your tax return.
Taxpayers with questions or in need of more information may call for personal service at
+ 46 (0) 8 564 851 60.