Kapitaltillskott

Money that lowers your gains tax

Kapitaltillskott (a capital contribution) is extra money you, as a member, have paid into your BRF (bostadsrattsforening, the housing co-operative), either to pay down the BRF’s loans or to fund new construction, an extension or a rebuild. When you sell your bostadsratt (the right to live in the flat), you may count that contribution as part of your omkostnadsbelopp (your total purchase cost). It raises your acquisition cost, shrinks the taxable gain and therefore lowers the tax you pay.

How much counts

The gain on a privatbostadsratt (a private co-operative flat used as a home) is taxed at 22 percent (22/30 of the gain is taxed at the 30 percent capital tax rate). For loan repayments you may count your share of the BRF’s amortisation while you owned the flat: the BRF’s amortisation during your ownership period, multiplied by your andelstal (your ownership share). An andelstal of 4.31 percent is used as 0.0431.

A contribution for new construction, an extension or a rebuild only counts if the money went to a specific building project and the members’ combined contribution for it came to at least 3 000 kronor times the number of participating bostadsratter.

What you need to do

You do not have to work out the figure yourself. The BRF reports the kapitaltillskott on the KU55 kontrolluppgift (the income statement it files after a sale), and you then use that figure in your tax return. If the figure is missing, it is worth asking the BRF, since it can change what you actually pay in gains tax.