Response to interpellation 2023/24:375 on the taxation of income derived from prostitution

Finansministern Elisabeth Svantesson (M)

Madam Speaker! Hanna Westerén has asked me what measures within my area of responsibility I intend to take to facilitate for persons who wish to leave prostitution. Hanna Westerén has also asked me what opportunities I see for taking measures to prevent that persons in prostitution are not criminalized according to current legislation.

Persons who are exploited in prostitution are in a position of great vulnerability and must be offered support and help to leave prostitution. It concerns women and men who are exploited and caused serious harm. One of the government's central priorities is therefore to prevent and combat exploitation in prostitution and human trafficking and to provide support to the persons who are subjected to it. The ban on the purchase of sexual services is an important tool in the work to combat demand.

The Government has recently received the report from the inquiry on exit programs for persons who are subjected to prostitution. One proposal in the report is, among others, that the tax legislation should be reviewed. We intend to send out the report for consultation shortly, and I look forward to receiving the responses. After that, we will return to the issue.

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Hanna Westerén (S)

Madam Speaker! I will be honest in saying that it feels a bit strange to stand here, with Talita in the gallery and the Minister for Finance present, and debate the same issue as before Christmas. But I mean that it is necessary, because I felt a glimmer of hope that the Minister for Finance and I seemed to want the same thing in at least one area, namely to significantly alleviate the vulnerability of people who want to leave prostitution. Surely we had something going there? That was my feeling, and I still want to believe that in at least one area we are actually striving in the same direction.

That is why it was with some wonder that I received the answer from Svantesson's ministerial colleague regarding the continued work on the investigation that was submitted before Christmas and which Svantesson referred to when we last saw each other here in the chamber. In that answer, the question did not seem so highly prioritized. This concerns me, given that we are talking about people of flesh and blood who, in the worst case, continue to sell their bodies in order to be able to pay off a tax debt, and that is completely unreasonable. We cannot have it that way. I hope we are still in agreement about that.

There also appears to have been a certain shift in the issue. When the Swedish Tax Agency visited the Committee on Taxation the other day, they now stated they welcomed a review of the tax legislation in order to potentially be able to exempt income derived from prostitution. That in itself was a piece of good news and differed quite a bit from the signals we have received previously. But it is still the Finance Minister who pulls the strings, and I mean that it is urgent.

The Minister for Finance speaks about the referral process, and then I say: When then? This is complicated matter - I am very aware of that - and it will not be done in a heartbeat. Precisely because of that, it is so urgent to get started. We know that the vulnerability risks increasing for every day with current conditions, and we can make a difference, the Minister for Finance and I.

Therefore, the question of control is: Can Minister for Finance Elisabeth Svantesson specify how remote a changed legislation is that reduces the vulnerability of persons who want to leave prostitution? I mean, above all, the economic area.

(Applause)

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Helena Vilhelmsson (C)

Madam Speaker! Thank you, Hanna Westerén and Elisabeth Svantesson, for giving us the opportunity once again to discuss this issue, which is so incredibly important, not least from a valuation perspective!

We have previously discussed the logic of taxing vulnerable women in prostitution, who are part of men's violence against women, on money they have received from an illegal act, i.e., that men are buying a paid assault. Because that is, in fact, what prostitution is about.

There are many examples that we have highlighted in the previous debate regarding what signals this sends. Is prostitution a job? No, one cannot equate selling sex with selling a pizza. But what would happen if the social services or the Public Employment Service took the position that it is a job? Then one could be denied social assistance or unemployment benefits and be told: You can sell sex.

Furthermore, the taxed money is used to finance your and my welfare. It is completely unacceptable.

When we debated this last time, before Christmas, it was, as said, a good discussion. The announcement was positive. The Finance Minister said that we need to look over this issue and that it is unreasonable as it is. Now the only question is when this will happen.

In the response, reference was made to the investigation on an exit program for prostitutes. It has been submitted. What else has happened since last time? Well, Skatteverket was in the committee and provided information. Then I asked three things. I asked how Skatteverket makes its assessment. Skatteverket also has a mandate to work on the government's assignment to stop men's violence against women. Why does this not weigh as heavily as following the Income Tax Act?

I also asked the question about the issue of human trafficking. For some reason, the Swedish Tax Agency chooses not to tax women who are victims of human trafficking. The question then is: How does the Swedish Tax Agency know who is a victim of human trafficking? They have no investigative resources for this. This means per se that they treat prostitution differently depending on which women it concerns. It is completely unreasonable!

The Swedish Tax Agency previously stated in a debate article and on its website that if this change were to be made, it could increase the black, criminal economy. Yes, perhaps that is the case, but it is not something that should be placed on the shoulders of the prostitutes. Vulnerable women should not take responsibility for other black activities and black economy.

But the positive thing, as said, is that the Swedish Tax Agency is in favor of a change. They have changed their position and are in favor of reviewing a legislative amendment to move away from this.

Therefore, I now pose the same question to the minister: How does the minister view this? Can we expect an investigation where the legislation is reviewed so that the Swedish Tax Agency cannot levy tax on the income of prostitutes? The Swedish Tax Agency has itself stated that the individuals' vulnerability needs to be considered and the issues broadened. The Swedish Tax Agency is in favor of amended legislation. Is the Minister for Finance also?

(Applause)

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Anna Wallentheim (S)

Madam Speaker! As late as December last year, the Malmö police established that the number of sex purchases in Malmö increased during 2023. This is unfortunately a development we see all around in our entire country. According to the police in Malmö, approximately 100 sex purchases occur every day in Malmö solely via escort sites. We know that sex purchases also occur in so-called brothels. According to the police, there are an estimated 80 massage parlors in Malmö that offer sexual services. We unfortunately do not know how large the number of sex purchases there is per day. These are figures that do not exist in any statistics. But these are figures just from Malmö.

During the autumn, various media outlets have revealed that there are several brothel operations all over Sweden. It is an increased supply of sexual services, sex trafficking, and prostitution. This is now also present in our medium-sized and small municipalities. In my neighboring municipality, Kristianstad, it was discovered this autumn that there were massage parlors that sold sex.

Prostitution and human trafficking are the ultimate form of violence against women, and this affects millions of women all over the world but also children and men, it should be added.

Enough is enough. Politics has a duty to stop human trafficking, prostitution, and brothel activities in Sweden and around the world.

As a member of the Committee on Justice, I know that sex buying and prostitution also have other problematic aspects. Men's violence against women is one part, but we also know that this can be strongly linked to other forms of crime. The police and Brå emphasize that there is almost always organized crime behind prostitution. Prostitution is fuel to finance organized crime, and it is strongly linked to black money. It is linked to shootings, and it is linked to violence. According to researchers in this field, there are also many other crimes linked to prostitution. The most common are robbery, pimping, rape, assault, and offensive treatment.

The link between prostitution and trafficking and organized crime is thus undeniable. If men did not buy sex, the market for the sexual exploitation of women and girls would collapse. This would also not be a source of income for the criminal gangs.

As a member of the Committee on Justice and a Swedish representative in the control group for Europol, I am unfortunately aware of the increased human trafficking, not only in Sweden but all around Europe. This has escalated even further since the pandemic and Russia's attack on Ukraine. More and more Ukrainian women are being drawn into this trade. This is a problem that affects not only other countries but also our own country.

When it comes to human trafficking, the catch is that no one is convicted. No one was convicted of human trafficking for sexual purposes during 2022, and no report led to a prosecution. Dagens Arena has reported that the majority of our police regions are disbanding human trafficking groups to prioritize the fight against gang crime, despite it being clear that they are strongly linked to each other.

The Minister mentions in their answer that it is a priority for the government to combat exploitation in prostitution. That is good, but we must also ensure that we make it more difficult for gangs to secure financing in this area. Therefore, I want to ask the Minister: How will the government, in addition to helping people out of prostitution, make it more difficult for gangs to secure financing in this area?

(Applause)

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Sara Gille (SD)

Madam Speaker! Thank you, the interpellor, for a very interesting interpellation! I actually raised this during a question period a few weeks ago. I think it is very interesting.

In Sweden, it is legal to sell sex, but it is not legal to buy sex. In fact, in 1982 it was established that prostitution is to be regarded as a business activity. This means that the person who sells sex shall pay tax. To conduct a business activity, Madam Speaker, is the same as running a company, in other words.

First, 17 years later, the sex purchase law was introduced in Sweden. With that, the purchase of sexual services was criminalized. Thus, it became illegal to buy sexual services. But it is still legal to sell sexual services, and when it comes to these services, Skatteverket requires tax. It is absurd that the sale of sexual services must be taxed since the money comes from an illegal act, i.e., the purchase itself.

The focus should be on helping those who are vulnerable and not on demanding money from them.

Madam Speaker! This is a social problem that must be countered with all possible force, and society must be better at offering protection and support to these vulnerable groups. Even prostitutes who find themselves in a vulnerable position have a right to society's support and protection. We need to strengthen the help and support for persons who sell sex for compensation. That they are instead required to pay taxes is unreasonable.

Pimps force women into prostitution, and then the Swedish Tax Agency (Skatteverket) demands money from the women that comes from an act that is illegal, as stated. The whole thing becomes a form of money laundering, which the state actually contributes to, as the Swedish Tax Agency (Skatteverket) collects money from prostitutes and the money is then used in some other activity.

I would therefore like to ask the Minister: Will we be able to see a change in the tax legislation so that prostitution continues not to be seen as a business activity?

(Applause)

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Finansministern Elisabeth Svantesson (M)

Madam Speaker! Many thanks to both the interpellator Hanna Westerén and the other members in the debate! We had a discussion about this in December, a very important one. I am glad, and think it is very good, that there is an impatience in the matter of solving problems.

What has happened in two months? Well, in the interpellation debate, I mentioned the investigation regarding the exit program. That investigation is now, as I said in my first answer, to be sent out for consultation. When we have received the comments from all consulting bodies, we will have a complete picture regarding what should be done in different areas. I will not anticipate this, just as I also said in the answer.

But having said that, I want to be very clear that it is exactly as we said together in December. Fundamentally, there is no distinguishing line of conflict when it comes to the view on working against prostitution. We have a great responsibility at all political levels - whether it is at the municipal, regional or national level - to do everything we can so that the perpetrators are convicted and to help vulnerable women who need help to get out of prostitution.

This is an important prioritization. That is also why the Minister for Equality, Paulina Brandberg, of course takes on the investigation with great commitment. But as everyone participating in this debate knows, we always send out investigations for consultation. We receive comments. Based on that, we move things forward.

I have no other announcements to make today, even though I understand that both the interpellor and the other debaters would like me to give an announcement regarding the timing and so on. I will not do that, because it is exactly as I say: The investigation shall be sent out for consultation. We shall collect views. And then we will do things in their entirety.

But just as I said in December: I truly see the absurdity in, for example, a woman who has been subjected to prostitution and perhaps trafficking receiving a tax debt that Skatteverket tries to collect. It is, therefore, unreasonable. It is, as I said then, a consequence of the fact that we have two different legislations that actually clash with each other. It is naturally important to review this so that things improve. That is obvious.

Madam Speaker! I can return in a little while. But my message is none other than this. Now the investigation has arrived. We will truly work with it and with the referral responses. The goal is what I know everyone in here has in mind: to facilitate and improve for those women who are dramatically and drastically subjected to prostitution in different ways.

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Hanna Westerén (S)

Madam Speaker! I must begin by thanking you for the messages, even though I still perceive them as unsatisfactory. But I also notice that the Minister for Finance notes our impatience, and it is obviously very genuine.

But I also want to take this opportunity to emphasize exactly what the Minister for Finance was touching upon, namely the importance of the perpetrators being caught and that we help the women who are in prostitution and also remember that they are crime victims.

I also want to take this opportunity to further emphasize how important it is that Sweden immediately chooses a path regarding the view on prostitution and human trafficking. I asked the Riksdag's investigation service to provide an overview of the situation in the European Union. Even though there are countries moving in the same direction as Sweden, there are also several countries that, distressingly, are moving in the opposite direction and increasingly regard prostitution—that is, that a person, preferably a man, buys the right to abuse another person's body—as a job.

Selling sex is not work. It is an oppression that we have a collective responsibility to combat.

I hear with horror the arguments that emerge from time to time that these tax payments perhaps should still generate a right to sickness benefit, parental leave, and unemployment insurance. It would truly be to normalize this oppression, and it is a door that Sweden should definitely slam shut with force and emphasis.

That door must be slammed shut by us clarifying where the boundaries lie. Perhaps we must also contend with the idea of further strengthening inter-agency cooperation. Many payments for sexual services today occur via digital channels. There, the police, if they do not already have it, should receive a much clearer mandate to work more actively with tracking those who purchase sex.

When the woman is set free, the noose should be tightened around the one who took it upon themselves to abuse another person's body. I think it is an exciting thought that the one who has a tax debt waived could also participate in more people getting caught by sharing the information on their account statement or in their Swish. That information is reasonably hard currency for all those authorities that have a mandate to combat prostitution and human trafficking.

Therefore, I ask: What is the Minister for Finance's view on expanding the mandate where necessary to further increase the pressure on those who take the liberty to abuse another person's body? Swish lists have featured in other crime fighting in Sweden recently. Therefore, I ask if it is something to consider here as well.

(Applause)

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Helena Vilhelmsson (C)

Madam Speaker! I thank the Minister for Finance for the answer, which, of course, once again confirms that we all agree regarding the issues and the unreasonable nature of this handling. But my thanks to the Minister for Finance actually stop there, because I do not agree that the continued handling is the right way.

The exit program for people in prostitution was a mandate that had nothing at all to do with the Swedish Tax Agency and the taxation of prostitutes' incomes. That investigation is 444 pages long. One and a half pages deal with that issue, and it was actually something that the investigator took on of their own initiative.

The investigation on exit programs was submitted to Equality Minister Brandberg and continues to lie at the Ministry of Employment. Had the investigator not picked up on this question, it probably would not have passed the Finance Minister at all. But now the question has been raised and reached the table, and it is a completely unreasonable situation that must be handled. It is the Ministry of Finance that owns that question. Why wait for a referral round on an investigation that from the beginning actually would not treat the question? Why prolong the handling by half a year or a year? It is not the women who are stuck in prostitution and who have or will receive a tax debt to Skatteverket who are being served.

Today, a committee initiative has been submitted in the Committee on Taxation to investigate the issue quickly and for the government to report back. It is also included in our motion processing during the spring. There are therefore all the possibilities for the Ministry of Finance to move forward as quickly as possible in something that I know is a complicated issue. It is an additional reason not to wait for a referral process and thereby prolong it.

(Applause)

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Anna Wallentheim (S)

Madam Speaker! I want to begin by thanking my colleague Hanna Westerén for an incredibly important interpellation, which several others have highlighted.

This is a problem that has many different aspects that are important to highlight, and therefore I think it is unfortunate that the Finance Minister chose not to discuss the part that I wanted to raise, namely how we also ensure that we stop the financing of the criminal gangs that stems from prostitution.

Seven out of ten victims of human trafficking are unfortunately women and children who are exploited in prostitution. This is therefore not a question of any isolated incidents, but this is a reality where millions of women and children around the world every day are forced into a life as prostitutes, which in turn finances organized crime.

The only way to safely avoid buying sex from someone who is a victim of human trafficking is, of course, to not buy sex at all. That is the only way to ensure this. It is also how we ensure that we do not finance the gangs, as this is an important source of income for our organized crime.

My Social Democratic comrades in the EU have worked intensively to criminalize the purchase of sex and sexual services, which has now led to new legislation where, among other things, support for victims is ensured, cooperation between countries and between authorities within countries is improved, and the purchase of sex for victims of human trafficking is criminalized.

It is clearly a success, while at the same time it is regrettable that the EU's governments have only agreed to criminalize situations where it is obvious that the man knows that the woman is a victim, because it is incredibly difficult to prove here.

It has been proven, however, that prostitution contributes to financing criminal gangs. It has been proven, however, that the majority of the women who are exploited are victims of human trafficking.

We Social Democrats fight every day for a safer Sweden, for women's rights and to stop prostitution. I therefore hope that the government is prepared to do the same.

(Applause)

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Sara Gille (SD)

Madam Speaker! I thank the Minister for the answer. I am pleased that the Minister sees the importance of this.

When the Swedish Tax Agency requires that one should tax income from prostitution, it actually reflects our view of society, as the purchase of sexual services itself is not seen as a form of men's violence against women, which can lead to prostitution not being seen as something wrong.

In itself, prostitution is dependent on men's demand and should be regarded as men's violence against women. Prostitution should never be seen as a job or a hobby. One is exploited and ends up in a very vulnerable situation, something that harms one mentally but can also harm one physically.

The vulnerable person is in distress, under severe pressure, and has a life situation that they cannot manage. The goal would be that people should not prostitute themselves. Unfortunately, it occurs, but it should naturally not be supported in any way.

Like, the interpellor sees the importance of us becoming better as soon as possible at helping those who want to leave prostitution. The longer the time passes, the more risk they run of being exposed and exploited through prostitution, while the Swedish Tax Agency, due to current legislation, continues to demand information from prostitutes.

Madam Speaker! We need to work more on preventing and combating prostitution. This also applies to human trafficking for sexual purposes. Men's violence against women simply must not be tolerated.

I would therefore like to ask the Minister what the Minister and the Government intend to do to strengthen the support for persons who are bought in prostitution and thereby reduce violence against women by men.

(Applause)

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Finansministern Elisabeth Svantesson (M)

Madam Speaker! Women who are victims of prostitution and who may have been raped, assaulted and suffered lifelong physical and psychological injuries need help getting out of it in every way. As I said earlier, I obviously see the absurdity in the fact that some of these women also have tax debts that the Swedish Tax Agency wants to collect.

The government has a very clear ambition, namely to counter both human trafficking and prostitution, and has therefore implemented several measures to combat exactly this. For those who see the debate or perhaps read the minutes later, I would like to mention, for example, that in this year's budget we are investing 50 million to strengthen exactly the work against gender-related and honor-related violence and oppression. This also includes prostitution and human trafficking.

Approximately 600 million are earmarked for the work against gender-related violence. This is conducted under Paulina Brandberg's umbrella regarding gender equality policy, but we are, of course, a single government that makes decisions jointly and also work jointly on this. Even during the chairmanship, the Swedish government pushed these issues, Madam Speaker, and also organized a conference that dealt with exactly human trafficking for sexual purposes.

We have now received the investigation, Madam Speaker, and the investigation shall, as stated, be sent out for consultation. Then we proceed with the various proposals in different ways based on the views of the consulting bodies and others. It is therefore not about anything else. It is not about delaying but about doing things in the right way according to the processes we have, which of course can be a bit tedious.

In the name of honesty, I will also say that I know there is an impatience, which I think is good. But many of us in here also know that we did not talk about these issues a year ago, but that we have brought them to the table thanks to, among others, Talita. It is very good that we have brought them to the table, and I am very happy that Hanna Westerén is passionate about and drives this issue. It is fundamentally very good. But what we do and how we are to do it, we must return to.

I said in the previous debate that I do not rule out a change in the tax legislation, but I promised none. What we are going to do instead is to facilitate things for these women in every way we can, and in that work, the investigation will be very important, as will how we proceed with parts of it.

The question is, as said, relatively new, even if it is not for those who are vulnerable. It is therefore good that there is impatience, but it is also good that there is an understanding of the processes we have here and in the Government Offices in order to actually produce good legislation or something else, whatever it may be.

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Hanna Westerén (S)

Madam Speaker! I understand if some following the debate might wonder what kind of issue this is. How many people is it about? How often does this occur? How large is the problem?

I therefore only want to remind about what my colleague Anna Wallentheim pointed out, namely how common it is. It occurs everywhere. I come from Gotland, where very attentive hotel staff quite recently alerted the police that prostitution was occurring at the hotel. It happens all the time, and we have a shared responsibility to counteract this.

I understand, however, that one might be sitting and reflecting; Swedish households are struggling against the wind, and the security situation is worse than it has been in a long time. But we are talking about people of flesh and blood, who are abused and harmed - and who also risk tax debts. I believe we must remember that we have an enormous responsibility to secure the paths out to a more dignified life.

I want to emphasize how urgent it is that this happens promptly and that the support for those people who want to leave prostitution is improved. We must succeed in changing and simplifying the boundaries in the economic area. Even though we did not talk about this a year ago, we have now talked about it for almost a year. It is therefore urgent, and we have the world's chance to make a difference.

I want to thank you for the debate and thank you for the floor. I hope that we will get much, much further very soon.

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Finansministern Elisabeth Svantesson (M)

Madam Speaker! I thank Hanna Westerén once again for the debate. It is important to raise these issues and remind [us] of how it looks in many places around Sweden.

I think I said it last time, but when I am out for an evening walk - which I often am - I often look into apartments. Now it might sound like I am walking around and peeking into apartments, but when you walk past apartments and houses, you see into them. Then I think: It looks tidy and beautiful in that window, but I wonder what it is like in there.

In some families it is fantastic, but in very many families there is a darkness. It can be women who are abused or women who are exploited in apartments both around Stockholm and around Sweden. The work to help those women out of prostitution and out of vulnerability is a task that we all in here take very seriously. I know that this is fundamentally not a partisan line but that we all do what we can. We can also do more.

I would like to take this opportunity to thank all the different types of non-profit organizations, such as Talita and others, who work with the vulnerable victims and make life better for them. We all have a responsibility - not least the public sector, as I said. We also need to support the non-profit parts that actually often find it easier to get close to these women.

I thank you for the debate. We will of course return. Impatience is good! It will lead to something good, I believe.

(Applause)

The interpellations debate was hereby concluded.

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