"I'll put it on the company". What does that actually mean?
You buy a computer, tools or a subscription and you hear: "put it on the company books". It sounds as if giving the organization number would be enough to stop the purchase from affecting your wallet.
Meanwhile an invoice issued to the company does not yet determine whether the expense can be deducted, by how much and in which year.
The basic rule concerns the connection of the cost with obtaining, maintaining or securing taxable income. The purchase must be assessed according to its actual purpose. Skatteetaten
This guide is aimed primarily at people starting ENK. For AS, the rules regarding benefits to the owner and employees are additionally important.
Step 1. Explain how the purchase serves the business
Before you record the expense, answer:
What did I buy?
For what work or service do I need it?
Is the purchase also used privately?
How will I document its connection to the business?
For example, a tool needed to complete an assignment has a clear business purpose. When purchasing an item used by the whole family, the matter requires a more detailed assessment.
The principle of connection to taxable income does not mean that every cost must immediately lead to a specific sale. The purpose of incurring the expense and its connection to the business are important. Skatteetaten
Practically: for a less obvious purchase, write a short explanation, for example the project name or the type of work performed. Such a note supplements the documentation but does not replace it.
Step 2. Understand what deducting the cost gives
A tax-deductible cost reduces the tax base. It does not mean a refund of the entire purchase price.
Simplified example:
Item Amount Business revenue 10 000 NOK Expense deductible in this period 1 000 NOK Profit after accounting for this cost 9 000 NOK
Tax is calculated based on the applicable rules and the taxpayer's overall situation. It does not automatically decrease by 1 000 NOK just because the purchase cost that much. Skatteetaten explains that business profit is revenue minus expenses. www.skatteetaten.no
Buying an unnecessary item solely "for the cost" still means spending money. First assess the usefulness of the purchase, then its accounting.
Step 3. Keep the purchase document
You need an invoice or an appropriate receipt. A bank statement alone is not sufficient documentation of the expense - it confirms the payment but does not always show what was purchased. Skatteetaten
After the purchase:
Check the accuracy of the document.
Record it in the accounting system or an organized archive.
Link it to the payment.
Add an explanation of the business purpose if it is not clear from the description.
If the invoice contains an error, ask the seller to issue a proper correction. Do not alter a document issued by the seller yourself. Altinn emphasizes the requirement for correct and complete documentation and the prohibition on altering it after it has been produced. info.altinn.no
Step 4. For larger amounts pay through the bank
For a cost of 10 000 NOK or more, payment through a banking system is a condition for deduction. Skatteetaten points out that payment in cash may deprive you of the right to deduct both the cost and the charged MVA. Skatteetaten
Practically: pay larger purchases by card or transfer and keep the receipts. Do not treat splitting payments as a way to bypass the requirements.
Step 5. Check whether you account for the purchase immediately
Not every purchase of equipment becomes entirely an expense in the year of payment.
Fixed assets with an initial value of at least 30 000 NOK and an expected useful life of at least three years are, as a rule, accounted for through depreciation - avskrivning. The cost is then spread over subsequent years according to the applicable rules. Lovdata
The initial value also depends on whether the MVA on the purchase is deductible. Tax that cannot be deducted is, as a rule, included in the purchase value. Skatteetaten
For example, a machine with an initial value of 40 000 NOK intended for several years of use requires checking the depreciation rules. Do not assume that the entire transfer will reduce this year's profit.
Step 6. Separate tax-deductible cost from the MVA deduction
These are two different mechanisms:
Mechanism What it concerns Deduction of tax-deductible cost Determination of income or profit subject to taxation Deduction of charged MVA Settlement of tax on purchases related to activity registered for MVA
The right to deduct MVA depends on the purpose of the purchase, the status of the business, and statutory restrictions. Simply having an invoice with tax does not automatically give the right to recover it. Skatteetaten
For purchases used partly in an activity that gives the right to deduct MVA and partly for other purposes, the deduction generally covers the appropriate proportion. Skatteetaten
Do not deduct the same MVA again as a tax expense if it is already deductible in the MVA settlement. Skatteetaten
More: MVA in Norway: when to add the tax and what to do after exceeding 50 000 NOK?.
Phone, internet and equipment also used privately
Do not apply one arbitrary percentage to all mixed purchases. Different rules apply to individual categories.
Phone and internet in ENK
Skatteetaten describes the special settlement for private use of electronic communication services. Costs are recorded in the accounting, and private use causes an adjustment increasing income - up to 4 392 NOK per year. If total costs are lower, the adjustment does not exceed their amount.
The absence of private use must be able to be substantiated. Skatteetaten
Equipment
In an ENK, assets that primarily satisfy the private needs of the owner are not company fixed assets. Classification of equipment and any settlement of private use require a separate assessment. Skatteetaten
Therefore, “sometimes I respond to clients on this device” does not yet determine how it should be accounted for.
Home office: a kitchen table is not enough
Deducting the costs of a room in an apartment requires meeting conditions regarding its use. Skatteetaten points to rooms used exclusively for business. Combining an office function with a living room or bedroom does not give the same right to deduct the room costs. Skatteetaten
This is a separate issue from accounting for a computer or other work tools.
In an ENK you also cannot create a cost by charging yourself private rent for your own room. Skatteetaten
Can you account for expenses from before company registration?
Yes, if they meet the conditions for start-up costs.
Skatteetaten foresees the possibility of recognizing up to five previous years as a start-up period for ENK. A genuine link between the expenses and the company's start-up, together with documentation, is required. This does not mean that arbitrary past private purchases can be included. Skatteetaten
Prepare a list: date, item purchased, amount, document and justification for use in the business.
What to check before recording an expense?
For each purchase, determine:
its connection to the business;
completeness of documentation;
method of payment;
any private use;
the right to deduct MVA;
direct expensing or depreciation.
If you cannot answer any point, mark the expense for clarification before accounting. A receipt documents the purchase, but it alone does not determine the right to a deduction.
The impact of costs on tax planning is described in the guide: Tax in ENK: how much to set aside and how advance tax works.
Information status checked: 18.10.2026.
