Income, self-employed, 2000

Self-employed persons with main income from the primary industries had a taxable personal income from business activities of NOK 160 000, an increase of 4.5 per cent. The corresponding figures for self-employed persons with their main income from other industries were NOK 272 300 and 6.5 per cent. The self-employed with their main income from wages and public pensions had an average taxable personal income from business activities of NOK 28 500 in comparison to NOK 23 900 in 1999.

Total personal income

Total personal income for self-employed persons includes personal income from sole proprietorship business, participant taxed companies and joint-stock companies, together with wages and public pensions. In average total personal income for the self-employed amounted to NOK 274 300. Personal income from industry amounted to 47 per cent of the total personal income. For the self-employed with their main income from primary industries, total personal income was in average NOK 191 400, of this 84 per cent was personal income from industry. The corresponding figures for other industries were NOK 299 100 and 91 per cent. For self-employed with wages and public pensions as their main income, total personal income amounted to NOK 284 300, and only 10 per cent originated from calculated personal income from the industry.

Gross income

For all self-employed persons as a whole, average gross income amounted to NOK 365 600. Of this the entrepreneurial income amounted 46 per cent. The gross income was highest for self-employed in independent occupations, with an average of NOK 490 400. Average gross income in the primary industries amounted to NOK 285 300. Self-employed with their main income from wages and public pensions had a gross income of NOK 352 500. The entrepreneurial income for this group amounted to 13 per cent of the gross income.

Agriculture deduction

Commencing from fiscal year 2000, a special agriculture deduction was introduced for those who operate agricultural business activities. The deduction can maximum amount to NOK 18 000 for each operating unit in 2000, but it cannot amount to more than the income from each unit. The agriculture deduction can be deducted from ordinary income and is not to reduce calculated personal income. Income from forestry and keeping reindeer does not give a right to the agriculture deduction. Persons that divide the income from the same industry between them, are to divide the deduction in the same proportion as they divide the income. For self-employed with their main income from primary industry this deduction amounted to NOK 10 100 in average.

About the statistics basis

The statistics cover a sample of 5 119 self-employed persons responsible for about 5 000 businesses. The sample apportioned after the type of main income shows 572 persons in the primary industries, 3 202 persons in other industries and 1 345 persons with their main income from wages and public pensions.

A self-employed person is a person who conducts business for his own account and risk, and is required to document the entrepreneurial income on a tax return schedule in addition to the personal tax return. Spouses, who conduct business together, are seen as two self-employed who divide the entrepreneurial income. A self-employed person can be responsible for several businesses. According to Statistics Norway's tax return statistics, which is based on the Directorate of Taxes' Register for fiscal year 2000, there were 339 856 self-employed persons of which 54 485 had their main income from the primary industries, 112 214 from other industries and 173 157 from wages and public pensions.

Tables:

• Table 1 Tax return account, by main income. Average. 2000. Kroner
• Table 2 Calculation of personal income of sole proprietorships, by industry. Average. 2000. Kroner (Corrected 20 November 2002)
• Table 3 General Trading Statement accounts for primary industries. Average. 2000. Kroner
• Table 4 General Trading Statement accounts for other industries. Average. 2000. Kroner
• Table 5 Capital yield basis of sole proprietorships. Average. 2000. Kroner (Corrected 20 November 2002)