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Housecleaning Tax Deduction Revamped

Published onsdag 20 augusti 2008 kl 11.05

Swedish Radio News reports that the government plans to revamp its reform to make household services like cleaning more affordable.

In an effort to encourage Swedes to pay legally for such services, rather than avoiding taxes in the informal economy, the government introduced a tax deduction last year. But that means those who take advantage of the reform only get their money back many months later.

Participation has only been about one-third of what the center-right government had hoped for.

New legislation this fall should lower the price of such services when they are carried out, rather than having to wait for the tax refund. The system is also to be expanded to include services provided by individuals and not just by formal companies.

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