How to Relocate from Sweden Without Tax Trouble

Moving to a new country can be both exciting and challenging. One has to adjust to a new system, culture, and social life, while also dealing with formal obligations such as registering for residency and tax purposes. This process can be complicated if you do not know the local language. But in fact, moving away from a country can be equally challenging—especially from a tax perspective.

This is particularly true when moving from Sweden, since Sweden maintains tax claims that can extend even to individuals who have left the country. Former Swedish tax residents may still be liable for Swedish taxation on certain income and assets. In this article, you will learn how Swedish tax law applies after emigration, how to avoid unnecessary risks, and why professional guidance may be crucial.

Should I Deregister for Swedish Taxes When Moving From Sweden?

In Sweden, there is no general possibility for private individuals to “deregister” for tax purposes. Deregistration is only possible for VAT, employer, and preliminary business tax purposes, which are relevant only for individuals running businesses as sole traders.

However, you should always deregister from the Swedish Population Register when leaving Sweden. This is done with the Swedish Tax Agency (Skatteverket). Although deregistration from the Population Register does not itself determine your tax status, it serves as an important indicator that you no longer live in Sweden.

Your actual tax residency status is instead determined in your annual income tax return. It is here that Skatteverket assesses whether you are still considered a Swedish tax resident or if you are treated as a non-resident taxpayer after emigration. Importantly, even non-residents may still be liable for Swedish taxes—for example, under the Swedish “Ten-Year Rule” (explained below).

From When Am I Considered a Non-Resident Taxpayer After Moving From Sweden?

Sweden can continue to treat individuals as Swedish tax residents even after they have moved abroad. This applies if you still have your “habitual abode” (stadigvarande vistelse) in Sweden, meaning you spend significant amounts of time in the country. Unlike other countries, Sweden does not apply a clear day-count rule. Instead, courts consider several factors such as the frequency, repetitiveness, and duration of your stays in Sweden.

There is also the concept of “väsentlig anknytning” (substantial connection). This rule means that Sweden may still treat you as a tax resident if you retain strong economic or social ties to Sweden, such as:

• Owning a Swedish business or company

• Holding Swedish real estate

• Maintaining family ties or long-term commitments in Sweden
  

This area of law is highly complex, with hundreds of guiding cases from the Swedish Supreme Administrative Court.

Is There an Exit Tax in Sweden?

Swedish tax law includes the so-called Ten-Year Rule, which functions similarly to an exit tax. Under this rule, former Swedish tax residents remain liable to Swedish capital gains tax for up to ten years after leaving the country. This applies particularly to the sale of shares and securities.

In addition, if you run a business in Sweden as a sole trader and cease to be a tax resident, Sweden may impose an exit tax on the value of your business assets. This means unrealized capital gains can become taxable at the time of departure.

What Is the Swedish SINK Tax Regime?

Non-residents of Sweden may still be subject to Swedish tax under the SINK regime (Special Income Tax for Non-Residents). This flat-rate tax currently applies to:

• Swedish pension income

• Employment income with a Swedish source
  

The tax rate is 25%, with a proposed reduction to 20% from 2026. Unlike ordinary income tax, no deductions are allowed under SINK.

What Is the Swedish Withholding Tax on Dividends?

In addition to SINK tax, Sweden levies a Withholding Tax on dividends from Swedish companies. The standard rate is 30%, but tax treaties usually reduce this to 15%. In some cases, further reductions may apply.

Sweden’s implementation of the EU Parent/Subsidiary Directive may even result in zero withholding tax in specific corporate structures. This is especially relevant for individuals who own Swedish companies and want to distribute dividends abroad.

Can Tax Treaties Affect My Taxation After Leaving Sweden?

Yes—tax treaties can significantly affect your taxation after moving from Sweden. Sweden has an extensive network of tax treaties that override domestic Swedish tax law.

For example, even if Sweden continues to treat you as a tax resident under its domestic rules (such as if you keep a home in Sweden), a tax treaty may limit Sweden’s taxing rights. In many cases, this shifts primary taxing rights to your new country of residence.

When assisting clients with relocations, we always conduct a thorough analysis of applicable tax treaties. Tax treaties are often central to tax planning, helping to ensure that residency is established in the most favorable jurisdiction. However, invoking treaty provisions can be complex, as no formal application forms exist. Professional guidance is strongly recommended.

Do I Need Professional Tax Assistance When Moving From Sweden?

In most cases, yes. Sweden has implemented several mechanisms to continue taxing individuals after they have left the country. Without proper planning, this can lead to double taxation or unexpected liabilities.

If you own or operate a business in Sweden, professional advice is particularly valuable. Properly structuring your relocation can often save substantial amounts of tax.

How Do I File My Last Swedish Tax Return After Moving Abroad?

When filing your Swedish tax return for the year you emigrate, it is essential to carefully argue your non-resident status if that is your position. Failure to provide sufficient documentation may result in disputes with Skatteverket, penalties, or surcharges.

We generally recommend that clients let us prepare their Swedish tax return for the year of departure. After the first year, some clients may handle their own returns, sometimes with a professional review.

Final Thoughts: Plan Your Move From Sweden Carefully

Are you considering moving from Sweden? If so, make sure to structure your relocation properly to reduce both your tax exposure and legal risks. Swedish tax rules on emigration are complex, and the consequences of mistakes can be costly.

Reach out to us for professional advice on how to manage your move, optimize your tax position, and avoid unnecessary risks.