Global Daily Tax News, Sweden Releases 2026 Spring Budget, (Apr 15, 2026)

The Swedish Government has announced tax relief measures for taxpayers in its newly released Spring Budget for 2026.

Measures include a temporary reduction in taxes on petrol and diesel and a new temporary electricity and gas price support. Under the measure, taxes will be reduced to the EU minimum tax level.

The Government is proposing that support be offered from May 1 to September 30, 2026. The Government estimates that the tax relief will be worth about SEK0.4 per liter including VAT for diesel and approximately SEK1.03 per liter including VAT for petrol.

The Government has also submitted an application to the EU Commission for permission to reduce taxes on petrol and diesel below the minimum tax level. If approval is granted, the Government would propose a further reduction that would grant relief worth SEK3 per liter including VAT.

In releasing the Budget, the Government made a commitment to keep labor taxes low, stating: "The global economy is characterized by high uncertainty and Sweden therefore needs to continue to ensure strong public finances in the coming years in order to be able to support the economy when needed. The Government has shown that it is possible to finance reforms through reprioritization in the state budget and without increasing the tax burden. The Government and the Sweden Democrats agree that future reforms should not be financed by increased taxes on labor or savings."

It added: "High taxes on labor and overly generous benefit systems inhibit incentives to work. During the term of office, the Government has reduced taxes on labor three times and taxes on pensions have been reduced to the same extent."