What do you need to know about value added tax in Norway? Do foreign companies have to account for Norwegian VAT?
VAT Norway: what do we need to know about accounting for VAT in Norway? Unlike most of EU countries, Norway is not a member of the EU. Therefore, different value added tax regulations apply in Norway. Important information for foreign exporters carrying out projects in Norway.
VAT Norway: we receive many inquiries and emails on this topic. There are many questions as to whether an intra-Community supply of services applies when processing orders in Norway. Although Norway is a member of the European Economic Area, it is not a member of the European Union. Therefore, different VAT regulations apply there than in EU countries. The sale of services performed in Norway is treated as an export of services outside the EU.
When executing a contract in Norway, remember that it is your responsibility to both register the NUF. Moreover you are obliged to charge Norwegian VAT to sales invoices once the limit of NOK 50 000 is exceeded.
The VAT tax in Norway is called Merverdiagvift, which translates as value-added tax, or MVA for short. The law that regulates the rules related to Norwegian MVA tax is called Mervediavgiftsloven. Enterprises whose turnover in Norway exceeds NOK 50 000, i.e. approximately EURO 4300, in a consecutive 12-month period, are obliged to register as VAT payers in Norway. In practice, this means that you only need to issue your first sales invoice to become a VAT payer in Norway.
Value added tax in Norway – limits.
There has been a discussion in Norway for many years about raising the NOK 50 000 limit. Unfortunately, this condition which is no longer relevant has not been adapted to current realities. Foreign companies that carry out contracts for the export of services performed in Norway are also subject to the VAT regulations in Norway. That is, for example, European companies that have orders for building, construction or installation work in Norway.
Applicable VAT rates in Norway in 2025:
- 25% – standard rate
- 15% – food
- 12% – transport, accommodation and other services
The exemption from Norwegian VAT applies, for example, to the publication of newspapers, magazines and books; the sale of electric cars; shipbuilding – the construction and repair of ships over 15m in length; funeral services or activities related to gas and oil exploration and production on the Norwegian continental shelf.
NORDIC FORUM offers NUF registration and service for EU companies. In addition, we organize training courses on the use of altinn.no platform, accounting for VAT in Norway and other necessary activities when carrying out an project in Norway. For more information, see the COURSES section.
VAT Norway, how and when to account for?
Each company reports VAT in Norway electronically on the skatteetaten.no platform. Once your business has been registered in the VAT Register, you must submit tax returns for VAT (Tax return for VAT) six times a year. The VAT report form is activated 40 days before the deadline. You can find out what Altinn is in the article: ALTINN for NUF companies.
The tax return for VAT in Norway must be submitted even if there were no sales during the period concerned. In this case, we submit a null declaration. There is a penalty of up to NOK 59,950 for late submission of a VAT return in Norway, so remember to submit your returns on time, including the ‘null’ declarations. It is worth noting that by registering your MVA in Norway, you can deduct Norwegian VAT from purchase invoices and receipts (e.g. fuel, or other company expenses) paid during your contract in Norway.
Important: the Norwegian VAT representative/representative obligation does not apply for companies from EU as of 2017.
Finally, we would like to remind you that as of 1 April 2017 there is no longer an obligation for a Norwegian representative for value added tax for EU companies. This was an onerous and costly obligation for foreign MVA tax payers. Thanks to the changes, the EU company owner, CEO or contact person representing the company can perform this function without any obstacles. Without a doubt, this is a major convenience for EU NUFs. For more on this topic, see our article.
If you have further questions about Norwegian VAT, running a NUF or executing contracts in Norway in accordance with local regulations, please contact us.
NORDIC FORUM provides consultancy services to foreign companies operating in the Nordic countries. We have over 15 years of experience in finding projects in Scandinavia for EU countries exporters. We prepare opinions and analyses for our clients taking into account the latest local regulations and market situation. In addition, we register EU companies in Norway, as well as contracts and employees in accordance with applicable regulations in the Scandinavian countries.
We look forward to working with you!
