In my tax report I think my house is valued at 400 000 NOK.
When I talk to the bank it will probably be worth 4 200 000 NOK.
Tax authorities here know as banks update them every year.
Also in accounting it is common. I remember asking my teacher about it when we had basic accounting and it is simple: if you depreciate (?) an item to less than it is worth you just have to report a profit when you sell a "worthless" asset. (I'm not an accountant and English is not my first language but I think it should be possible to understand.)
I am fairly sure that is tax fraud lol. I don't think I could take out a loan on a property by giving one valuation and in the same year give a vastly different one for my taxes.
No, it is even the tax office who came up with the much lower number in my case.
It is like this for everyone!
Same with depreciation rules, when I learned the rules here my teacher was actually working with the tax authorities.
Depreciation in accounting is a technicality. And if you happen to sell a thing that is technically worth 0 in the books that just becomes an extra inflow of money to the company, which is taxable and so the tax authorities get their money.
Unless you have learned accounting, be careful :-)
In my tax report I think my house is valued at 400 000 NOK.
When I talk to the bank it will probably be worth 4 200 000 NOK.
Tax authorities here know as banks update them every year.
Also in accounting it is common. I remember asking my teacher about it when we had basic accounting and it is simple: if you depreciate (?) an item to less than it is worth you just have to report a profit when you sell a "worthless" asset. (I'm not an accountant and English is not my first language but I think it should be possible to understand.)