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Norway: VAT on e-commerce

Norway: VAT on e-commerce

A new regime for value added tax (VAT) regarding e-commerce transactions in Norway will be effective 1 April 2020.


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The new regime provides, in part, that:

  • Foreign suppliers of low-value goods must calculate and collect VAT on their business-to-consumer (B2C) sales into Norway.
  • The VAT on e-commerce regime relates to businesses and marketplaces that sell “low-value goods” (defined as having a value below NOK 3,000 or approximately U.S. $322) to consumers in Norway.
  • VAT on e-commerce cannot be used for goods with value at or above NOK 3,000, foodstuffs, restricted goods, and goods subject to excise tax (duties). These goods will be subject to border collection of VAT, excise tax, and customs duties.
  • The NOK 3,000 threshold applies per item, not per invoice or transaction. The value of the item at “point of sale” is decisive. Additional costs and fees (e.g., shipping and insurance costs) are excluded when determining if the sale is within the NOK 3,000 threshold (but are to be included when calculating the VAT).
  • Consignments to Norwegian consumers must include a VAT on e-commerce identification number.
  • Those transporting the goods must make sure that the VAT on e-commerce information is available to the Norwegian customs authority, preferably in a pre-notification in digital format, but at the latest, when the goods are presented at the border. VAT must be reported and paid quarterly to the Norwegian tax authorities.
  • To determine whether VAT applies to a supply, the value of the good must be measured at the point of sale. If the goods are listed in foreign currency, the supplier must convert the foreign currency amount into NOK at the point of sale.

Read a February 2020 report (Norwegian and English) prepared by the KPMG member firm in Norway

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