# Tax on Rental Income

*Income Tax Act (Inkomstskattelagen) Ch. 42, §§30–31*

## Definition

When you rent out your home privately in Sweden, the rental income is taxed as capital income at 30%. You are entitled to a standard deduction of SEK 40,000 per year plus 20% of the rental income. This means you can rent out for up to approximately SEK 50,000 per year completely tax-free if you have no other costs to deduct.

If you rent out part of your home (e.g., a room), the same rules apply. If you rent out a cooperative apartment, you can also deduct the portion of the monthly fee that corresponds to the rental. When renting out a property (house), you can also deduct actual costs like repairs and maintenance. All rental income must be declared in your tax return — the Swedish Tax Agency can review bank statements and advertisements.

## Key points

- Taxed as capital income at 30%
- Standard deduction: SEK 40,000 + 20% of rental income per year
- Approximately SEK 50,000/year can be tax-free with the standard deduction
- BRF owners can also deduct monthly fees proportionally
- All income must be declared — the Tax Agency actively monitors

## Practical tip

Always declare your rental income — the Swedish Tax Agency cross-references rental platforms with tax returns. Use the standard deduction if it's more favorable, otherwise deduct actual costs. Keep all receipts and agreements.

## Legal basis

Income Tax Act (Inkomstskattelagen) Ch. 42, §§30–31