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Municipal taxes 2021

Total municipal tax rate to decrease by SEK 0.01 on average next year

Statistical news from Statistics Sweden 2020-12-17 9.30

The total municipal tax rate will decrease on average next year and will amount to 32.27 percent. The tax rate consists of two parts - a municipal tax rate and a regional tax rate. The municipal tax rate will decrease on average by SEK 0.01, while the regional tax rate will remain unchanged.

Total municipal tax rate 2018-2021, national average*
 2018201920202021

Municip

 

20,74 20,70 20,72 20,71
County council tax 11,39 11,49 11,56 11,56
Total municipal tax rate
32,12 32,19 32,28 32,27

* The figure for 2018 do not sum up due to rounding.

Eleven municipalities will lower tax rate, while nine will raise tax rate

Eleven municipalities have elected to lower the municipal tax rate next year. The largest decrease in the tax rate, SEK 0.25, will take place in the municipalities of Gagnef and Orust. The tax rate will increase in nine municipalities. The largest change, an increase of SEK 0.94, will take place in Arvika municipality. In municipalities such as Bromölla, Degerfors, Karlshamn, Kinda, Högsby, and Töreboda, the tax rate will increase by at least SEK 0.50.

All regions will maintain regional tax rate next year

The average regional tax rate will remain unchanged next year at 11.56 percent, as all regions will retain their current tax rate. In the 2000s, there was a single instance when all regions retained their tax rates, between 2010 and 2011.

Österåker municipality will have the lowest total municipal tax rate in Sweden next year again

The tax rate in Österåker municipality will be lowered by SEK 0.10 next year, which means the municipality will have Sweden’s lowest total municipal tax rate, at 29.08 percent, in 2021. The inhabitants in Dorotea municipality have the highest total tax rate in the country next year, 35.15 percent, which is unchanged from 2020. For inhabitants in these municipalities, the difference in total municipal tax rate will be SEK 6.07.

No tax shifts next year

There will be no tax shifts in 2021. A tax shift entails a redistribution of the tax levy between municipalities and regions.

Tax base increased by 2.8 percent

The total tax national tax base increased by 2.8 percent between fiscal years 2019 and 2018, which is a decrease of just under 1.0 percentage point than in the previous year, when it was 3.7 percent. Ekerö municipality, in which the tax base decreased by 1.0 percentage point, is one of the municipalities in which the tax base decreased. In the previous year, Ekerö municipality’s tax base increased by 8.4 percent, at the time the single highest increase in Sweden.

Funeral fee to increase again

In 2021, the uniform funeral fee will be SEK 0.253, which is an increase compared with SEK 0.250 in 2020. The funeral fee applies to all persons with registered residence in areas where the Church of Sweden is responsible for funeral activities.

From 2017, a uniform funeral fee applies in all municipalities except in Stockholm and in Tranås. Next year, the funeral fee in both these municipalities will remain unchanged. In 2021, the funeral fee will be SEK 0.065 in Stockholm, while in Tranås the fee will be SEK 0.24.

Definitions and explanations

The total municipal tax rate consists of a municipal and a regional tax rate. Tax base refers to the taxable earned income of physical persons in year t-2. Tax capacity is defined as the tax base per inhabitant. The average national tax rate is calculated by weighing the total municipal tax rate with the tax base in each municipality.

Tax rates that are published in this statistical news release are based on data submitted to the Swedish Tax Agency by 30 November 2020. Any tax rates reported to the Swedish Tax Agency after this date are not included in this item of statistical news and will be published in January.

Next publishing will be

The next Statistical News in this series will be published on 2021-12-17 at 9:30.

Statistical Database

More information is available in the Statistical Database

Feel free to use the facts from this statistical news but remember to state Source: Statistics Sweden.

Statistical agency and producer

Statistics Sweden, Public Finance and Microsimulations Unit

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Marie Glanzelius

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