Sweden Proposes New Tax Rules for Continuous Stay

Foreign residents and cross-border workers in Sweden face new tax rules from 2027. The Swedish government submitted Bill 2025/26:306 to Parliament. This bill introduces a quantitative definition for continuous stay in Sweden. The new rule will enter the Swedish Income Tax Act. It is scheduled to take effect on January 1, 2027.

The bill establishes clear counting criteria for foreign residents and cross-border workers. These criteria determine when individuals become subject to unlimited Swedish tax liability. Clear statutory definitions reduce legal uncertainty regarding worldwide income tax obligations. This helps expats and international professionals traveling or spending time abroad. This report comes from KPMG.