Asset value, previously called tax value, is an important concept for those of you who own shares in, or operate, Norwegian unlisted companies – whether as an entrepreneur, manager or investor. In this article, we explain what asset value is, when and what you need it for, and how you as an owner or company must deal with it now that the reporting deadline is approaching.
What do we go through in this article?
The asset value is the tax value of your shares as of December 31. For listed shares, the value is automatically retrieved by the Norwegian Tax Administration, while for shares in unlisted companies – such as most start-up and growth companies – the value must be calculated and reported manually. Companies do this via the company's tax return. The Norwegian Tax Administration receives the information about the asset value from the limited liability company when they submit their tax return. You will be notified that there are updated asset values in your share statement. You can receive this information before or after the deadline for submitting the tax return. The asset value is calculated based on various assessments of the accounts, and normally the accountant does this in connection with the year-end closing of the company's accounts.
If you own the shares as a private individual, the asset value will usually be pre-filled in the tax return – if the company has reported it correctly. If you own the shares through a holding company, you can enter the asset value yourself based on information from the companies you own if you have access to this.
Remember that your net worth is one part of your total wealth, which can also include property, bank deposits, and other assets.
Every year, companies must report the Share Statement and Tax Return, the tax return also applies to most people living in Norway. If you have shares in unlisted companies, you must make sure that these are reported at the correct value.
Asset values are reported each year in connection with:
• Tax return for entrepreneurs and companies – deadline is May
• Tax return for private individuals – deadline in April
If your company has many shareholders or has made capital changes in the past year, it becomes extra important to ensure that everyone receives correct and equal information in a timely manner.
The asset value is primarily used for:
It is important to be aware that a valuation that is too high can result in unnecessarily high wealth tax, and one must distinguish between market value and wealth value (tax value).
There are several methods for calculating asset value, but the most common follow the Norwegian Tax Administration's templates for valuing unlisted shares. These are often based on the company's:
Important for startups: Do not use the company's market value from, for example, an IPO or investor presentation, unless this is consistent with tax principles. A high valuation here could result in unrealistically high wealth tax for the owners.
Contact your accountant or auditor to ensure correct calculation.
For the company
As a CEO or board member, you must ensure that the asset value is correctly calculated and distributed to shareholders. This can be time-consuming if you have many owners.
Failure to do this may result in shareholders reporting incorrectly or receiving unnecessary questions from the Tax Administration.
For owners
If you own shares in an unlisted company, you must ensure that the asset value is reported on your tax return. If you have not received this from the company, you should request it well in advance of the deadline.
If you use Unlisted to manage your ownership structure and shares, we make this process easy for you:
1. Go to the Valuation screen in the platform.
2. Enter asset value per share.
3. Select “Notify shareholders by email” to send out the information automatically.
4. If shareholders have access to the Unlisted portal (via the Stakeholders page), they will also be able to view their asset value there.
If you have any questions about how to upload or export assets to Unlisted, we're happy to help – please contact support@unlisted.ai .
• The Norwegian Tax Administration: Share statement – general information
• Tax return for entrepreneurs and companies
• Tax Administration: Share statement – unknown values
