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They don't withdraw much from that fund though and have an annual ceiling of 3% of its value, they still pay a good amount of taxes (22% on income, 25% sales tax). Blaming the oil fund just shows how lacking other countries management is.
They don't withdraw a lot, but having it means they don't have a need to tax all the things just in case either and they can take a hit today to plan for a better future. That is to say, EVs in Norway are exempt from vehicle taxes, import duties, registration fees and get all kinds of other benefits too making them way cheaper in comparison to ICE cars.
That fund has something like $200 000 per Norwegian in it.
Most things have a 25% sales tax on them + 22% flat rate for income tax. How much taxes are billionaires paying in the US?
Again, blame the fund all you want, in the end the problem is other countries not jumping at the opportunities presented to them to build a similar fund.
It was inspired by Alberta's heritage fund (which obviously existed before Norway's), Alberta has a much bigger oil reserve and has extracted way more oil than Norway. How much do they have in their version of the fund? Less than CAD $30B. Instead of investing for the future they decided to cut all sales taxes and to lower income taxes as much as they realistically could while still offering public services.
The same logic can apply to any government that has natural resources to manage and decides not to nationalize it to invest for the future.
No clue, I'm from Finland where our VAT is 25.5%, income tax is higher than in Norway, and our vehicles are some of the most expensive, and also the oldest, in Europe :)
Close.
Every NOK over 500k is now with VAT. They changed it last year.
The selection under 500k is still quite good, so I’m not gonna pretend the deal is horrible, and you only pay on the amount over, so a 600k car is still artificially cheap compared to most places.