Norway’s proposal to tax holiday cabins at a higher rate than permanent homes has drawn sharp criticism from French property owners. The plan, part of a broader fiscal adjustment, was announced last week and targets cabins valued over 1.5 million kroner. Owners with French citizenship now face potential bills exceeding 10,000 kroner annually, a figure that has drawn outrage in local media.
The cabin tax debate follows years of rising property prices in popular holiday regions like Vestlandet and Trøndelag. Norwegian tax authorities argue the adjustment aligns with market realities, but French owners say the move is unfair. A spokesperson for the French Embassy in Oslo confirmed receiving complaints from citizens affected by the change. The tax office has not yet released official estimates of how many foreign owners will be impacted.
Political reactions are divided. The Progress Party called the tax a necessary step to cool overheated markets. Meanwhile, the Centre Party criticized the timing, noting the measure could deter foreign investment just as tourism recovers post-pandemic. Economists point out that cabins generate little local tax revenue despite their high value, as owners often rent them out internationally.
The government has defended the policy as part of a broader effort to address housing shortages. It noted that permanent residents in high-demand areas already face steep costs. Still, the backlash from French owners highlights tensions over Norway’s approach to second-home taxation. No changes to the proposal are expected before the autumn budget vote.
Source: e24.no