Norway propose the introduction of a simplified VAT regime for low value goods

16 October 2019

From 1 April 2020, the Norwegian government is proposing to make changes to the Value Added Tax (VAT) rules that apply to non-resident businesses selling and shipping directly to consumers in the country.

This new regime is an extension to the simplified scheme already in place for cross-border sales of electronic services to consumers (VOES) and will apply to goods imported up to a value of NOK 3,000 (approx. £270).

Currently at import into Norway, consumers can pay the VAT owed at clearance meaning that the non-resident suppliers avoid the need for VAT registration in the country. However, under these new rules the VAT liability for these low value imports will shift from the consumer to the non-resident supplier, meaning that subject to meeting the NOK 50,000 (approx. £4.5k) registration threshold, the non-resident supplier would need to VAT register in order to report and remit VAT in the country.

If introduced, the new system will apply to sales made directly to the consumer and not via an electronic marketplace (Amazon, eBay etc.), as in this scenario the marketplace will be deemed the supplier and would be responsible for the VAT reporting.

The Norwegian tax office also confirmed they will provide a simplified VAT registration and reporting process under this new regime.

LATEST NEWS

Belgium approves draft law for near-real-time...

July saw the Belgian Council of Ministers approve a preliminary draft law to introduce near-real-time electronic reporting of certain invoice data to the tax...

SEE MORE
VAT news
LATEST NEWS

Luxembourg proposes the introduction of electronic...

This month Luxembourg’s Government approved a draft law to introduce mandatory structured business-to-business (B2B) e-invoicing for domestic transactions...

SEE MORE
VAT news
LATEST NEWS

Germany's action plan signals move toward...

Germany has announced a 26-point “Action Plan” against tax and financial crime, which aims to increase detection risk, strengthen enforcement, and improve...

SEE MORE
VAT news

Gated Content

The following email providers are not accepted: gmail, hotmail, yahoo. Please use proper company email.