Employer’s national insurance contributions for employees working abroad

The general rule under Section 23-2 of the Norwegian National Insurance Act is that employer’s national insurance contributions must be calculated on salary payments. An important practical exception is set out in subsection nine of the provision:

“Employer’s national insurance contributions shall not be payable on remuneration for work performed abroad, on the Norwegian continental shelf, or in Norwegian territorial waters, where the work is carried out by a foreign employee who is not a member of the national insurance scheme.”

The provision exempts remuneration from employer’s national insurance contributions where the work is performed abroad by a foreign employee who is not a member of the Norwegian national insurance scheme. A “foreign employee” means a foreign national. The obligation to pay employer’s national insurance contributions on remuneration paid to other individuals residing abroad follows the obligation to report salary payments, as provided in the Tax Administration Regulations.

The obligation to pay employer’s national insurance contributions may be excluded under social security agreements

The obligation to pay employer’s national insurance contributions may also be excluded pursuant to applicable social security agreements. In addition, the obligation may not apply where the individual is exempt from Norwegian social security coverage under the rules of the EEA Agreement, cf. Council Regulation (EEC) No. 883/2004, as consolidated and amended, inter alia, by Council Regulation (EEC) No. 3811/86.