Government wants more foreign workers to pay tax in Sweden

1:48 min

The Swedish government wants to change the law so that more foreign workers who are here via staffing agencies would have to pay tax here.

The proposed law would come into effect on the 1st January 2021, and mean that it would no longer be who pays the employee that determines where tax is paid, rather it would be who the work is done for.

The government says this would affect around 23,000 workers largely in the building trade, and bring in around SEK 700 million more per year in taxes.

Swedish unions welcome the move. However the construction industry association says there are risks.

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