Ica Stores Report Record Profits; Owners Benefit from Lower Taxes via 'Legal Loopholes'

Swedish grocery giant Ica is once again under scrutiny as its stores report substantial profits, with several Maxi branches achieving sales figures around or even exceeding one billion kronor. The group's overall operating profit has surged by approximately 600 million kronor, reaching over 5 billion kronor, according to recent annual reports. This impressive financial performance, however, is drawing attention not just for the company's success but for the way its owners are structuring their income.

While the stores thrive, a significant portion of the profits is being channeled to owners through dividends, which are taxed at a lower rate of 20 percent. This practice, facilitated by what critics call 'legal loopholes' within the 3:12 regulations for small companies, allows owners to extract millions in income with a considerably lighter tax burden compared to employees. This disparity has sparked criticism, with Torbjörn Hållö, chief economist at LO (the Swedish Trade Union Confederation), stating, 'It is a strange situation that the Ica dealer's income is taxed lower than the store staff. I don't think that's reasonable.'

This situation highlights a recurring debate in Sweden about tax fairness and the structure of business ownership. The 3:12 rules, originally intended to encourage entrepreneurship and risk-taking, are now seen by some as enabling wealthy individuals to minimize their tax obligations, particularly when applied to large, successful enterprises like Ica. The fact that Ica-handlarnas bolag (Ica dealers' companies) often qualify as 'fåmansbolag' (few-person companies) allows them to leverage these rules, even when the scale of operation far exceeds that of a typical small, high-risk startup. As Dagens Nyheter's investigation reveals, this has led to substantial tax-advantaged income for many registered CEOs, some drawing tens of millions in low-taxed capital gains alongside their salaries.

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Det är en märklig situation att Ica-handlarens inkomster beskattas lägre än butikspersonalen. Det tycker inte jag är rimligt