Accounting for the sale of a trading or limited partnership

Funds 

You must reverse tax allocation reserves and expansion funds when you sell your share in the company. The reversal will affect your share of the company's result. In some cases, you can use the rules on cumulative income when reversing expansion funds to get a lower national income tax. 

Interest distribution 

At the time of your last declaration of your share in the company, you can carry out interest distribution if any part of the financial year is to be accounted for by you. An interest distribution means that you calculate interest on your capital in the company. The interest distribution can be either positive or negative and shall be calculated on the capital base. The capital base is calculated from your adjusted acquisition cost at the start of the tax year. 

You must make a negative interest distribution if the capital base, at the end of the last financial year, is negative by more than SEK 50,000. The amount must be included as income in the economic activity tax schedule. You must then deduct the same amount in the capital tax schedule. 

You may make a positive interest distribution if there was a positive capital base of more than SEK 50,000 at the end of the last financial year. When economic activities cease, positive interest distribution can also be made for reversed tax allocation reserves as well as reduction of expansion fund. You can deduct this amount in the economic activity tax schedule. The same amount must then be included as income in the capital tax schedule. 

If your last financial year is shorter than 12 months, the amount of the distribution must be adjusted to take account of the length of the financial year. 

Individual social security contributions and special payroll tax 

In the year in which you sell the economic activity, you can calculate the final individual social security contributions or the special payroll tax and deduct these directly in the last income tax return for the economic activity. Otherwise, you make a standard deduction for the individual social security contributions/special payroll tax in the income tax return for the last year of the activity, but then you must make a final reconciliation of the individual social security contributions/special payroll tax the following year. 

See the exact calculation of own contributions on the Swedish Tax Agency's website (in Swedish)

Capital gain 

You must report the sale in the capital tax schedule. From the selling price you may deduct the positive adjusted acquisition cost, which consists of the amount you paid for the share yourself, plus additions and taxable income, minus withdrawals and the deficits you have deducted. 

If the adjusted acquisition cost is negative, add the amount to the sale price and your capital gain will be greater. In some cases, you must report the sale in the economic activities tax schedule. Capital gain or capital loss calculated on form K15A.

Download the Swedish Tax Agency's form K15A (in Swedish) 

Tax account 

Neither the company nor the shareholder tax account are affected by the fact that the company's assets and liabilities or share is sold.