Browse by year:


Other

PR(04)16: The EFTA Surveillance Authority opens a formal investigation procedure with regard to state aid in the form of exemptions from document duties and registration fees provided for in the establishment of the Norwegian company Entra Eiendom AS

16.6.2004

Today, the EFTA Surveillance Authority opened a formal investigation procedure with regard to state aid in the form of exemptions from document duties and registration fees provided for in the establishment of the Norwegian company Entra Eiendom AS (hereinafter Entra).

The Norwegian authorities reorganized the Directorate of Public Construction and Property (“Statsbygg”) in 1999-2000 by transferring ownership and titles to part of the real estate directly owned by the Norwegian State, but managed by Statsbygg, to Entra, a new limited liability company. Entra is owned 100% by the Norwegian State.    

According to Norwegian law, the registration of transfer of ownership to real estate releases an obligation to pay document duties (“dokumentavgift”). The tax rate is 2.5% based on the sales value of the property. In addition, the registration of transfer of title in the real estate registry is subject to a registration fee (‘tinglysingsgebyr”) fixed at NOK 1.480 (some EUR 180,-) per document registered.

When Entra was established, the Norwegian Parliament passed a special Act whereby re-registration in the real estate registry was to be done as a change of name of the property holder. Change of name does not release an obligation to pay document duties and registration fees. Entra was thus exempted from the obligation to pay document duties and registration fees. Pursuant to information submitted by the Norwegian authorities, payable excise duties for the transfer of titles to the real estate received by Entra would amount to NOK 80.6 million (some EUR 10.4 million).

The Authority has doubts as to the compatibility with the functioning of the EEA Agreement of the exemption from document duties and registration fees adopted in connection with the establishment of Entra. Consequently, the Authority is obliged to initiate the formal investigation procedure.

The Authority will inform interested parties by publication of the decision in the EEA Section of the Official Journal of the European Union and the EEA Supplement thereto. Interested parties will be invited to submit their comments within one month of the date of such publication.

For further information, please contact

Mr. Amund Utne, Director Competition and State aid, tel. +32 2 286 18 50

or

Mr. Rolf Egil Tønnessen, Deputy Director, State aid, tel. +32 2 286 18 56.

 




Other EEA Institutions


imgbanner1
This website is built with Eplica CMS