How are expenses processed in Sweden?



Modified on: Mon, 22 Sep, 2025 at 5:30 PM

TABLE OF CONTENTS



This policy outlines the rules and guidelines for expense reimbursement in Sweden, including travel, mileage, per diems, entertainment, gifts, and wellness-related expenses. It ensures compliance with Swedish tax regulations while providing clarity to employees and employers.


Invoicing & Documentation

  • Documentation requirement: A receipt or invoice must always be provided for business expenses to be reimbursed tax-free.
  • Threshold for invoices: There is no threshold; all reimbursed expenses require documentation.


Reimbursement & Taxability


Business Expenses

Examples of tax-free reimbursable expenses with proper documentation:

  • Business meals (lunch/dinner meetings).

  • Client entertainment.

  • Transportation (taxi, bus, train, air travel).

  • Hotels and accommodation.


Per Diems (2025)

Domestic per diems (tax-free):

  • Full day: SEK 290

  • Half day: SEK 145

  • Requirement: Must include an overnight stay in order to pay out tax free per diems. 

International per diems:
Rates vary by country. The official list is available via the Swedish Tax Agency:
Skatteverket – International Per Diem Rates

  • Important: VAT applies to reimbursable expenses.


Travel & Mileage

Mileage reimbursement rates (2025):

  • SEK 2.50 per km – travel in a privately owned car.

  • SEK 1.20 per km – travel in a company car (except fully electric).

  • SEK 0.95 per km – travel in a company car powered entirely by electricity.

Parking tickets and tolls: Must be reported as separate expenses with receipts, not as part of the mileage log.


Gifts & Entertainment


Gifts to Customers

Generally not tax-deductible unless classified as:

  • Entertainment gifts or promotional gifts.

  • Promotional gifts must:

    • Be simple in nature.

    • Be directly related to the company’s business.

    • Carry the company’s name or logo.

    • Not exceed SEK 300 (excluding VAT) in value.

Business gifts: deductible if linked to a business negotiation and below SEK 300 (excluding VAT).


Gifts to Employees

  • Christmas Gift: Tax-free if ≤ SEK 550 (incl. VAT).

  • Anniversary Gift: Tax-free if ≤ SEK 1,650 (incl. VAT). Applies to company anniversaries (25, 50, 75, 100 years).

  • Commemorative Gift: Tax-free if ≤ SEK 15,000 (incl. VAT). Granted only once per employee for:

    • Milestone birthdays (50+ years).

    • Long-term service (≥ 20 years).

    • End of employment.

    • Employee must be permanent (≥ 6 years of service).


Health & Wellness Benefits

  • Employers may provide tax-free health benefits up to SEK 5,000 per employee per year.

  • Eligible expenses include:

    • Gym memberships.

    • Yoga, swimming, golf, ski passes, massage, etc.

  • Medical bills are not included, but a wide range of wellness activities qualify.


Compliance & Record-Keeping

  • Receipts/invoices must be saved (digital storage is acceptable).

  • For mileage and per diems, a travel log must be kept, including:

    • Date and time.

    • Reason for business trip.

    • Destination.

    • Distance traveled (for mileage).

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