Norway: New VAT return, electronic filing expected in 2022

Norway: New VAT return, electronic filing expected

The Norwegian tax authorities announced that beginning in 2022, there would be a new return for value added tax (VAT)—one based on the standard SAF-T tax codes. The new VAT return would be filed electronically, and it would be possible to file these VAT returns directly from enterprise resource planning (ERP) systems.

1000

Related content

In addition, the tax authorities are looking to modernize other areas under the VAT rules, thereby following up on efforts to modernize the VAT system as introduced in 2019. These efforts include:

  • A new VAT return
  • A new return for sales and purchases

New VAT return

The current VAT return has 19 boxes that must be completed by entities submitting a VAT return. The new VAT return would be more intuitive, and it is expected that the risk for errors would be reduced.

The new VAT return would be based on financial account information, and the standard SAF-T tax codes would be used (instead of the 19-box format in the current version of the VAT return). The expectation is that VAT would only be reported with regard to the tax codes when there are changes reflected in the financial accounts—in other words, the VAT return would be “customized” for each entity.

In addition, the new VAT return would include specific boxes, in which the following information would be reported:

  • Bad debts
  • Adjustments according to the VAT adjustment scheme
  • Reversals
  • Self-supplies (withdrawals)

In addition, it would be possible to make notations or comments in areas of the VAT return, if necessary.

The new VAT return could be filed directly from ERP systems (whereas with the current VAT return, the submissions are made in Altinn; under the new system, the VAT return could still be submitted via Altinn). The tax authorities expect that testing of the new VAT return would start in the third quarter of 2021 and that the new VAT return would be fully implemented in 2022.

New return for sales and purchases

A return for sales and purchases has been proposed. This return would be similar to the EC sales and purchase lists. This new return would allow the tax authorities to receive additional information on transactions between taxpayers. Transactions between entities would be reported in this new return and would include information such as invoice numbers, document date, the identification of the customer and vendor by name and organization number, and VAT information.

This new return would require changes to the VAT law. The Finance Ministry is currently in the process of preparing a discussion document regarding this change.


For more information, contact a KPMG tax professional in Norway:

Jardar Aavik Skarprud | +47 406 39 237 | jardar.aavik.skarprud@kpmg.no

Evelina Fransson | +47 909 37 775 | evelina.fransson@kpmg.no

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal