Country Guide: Norway
Looking to expand your e-commerce business to Norway, then look no further, here is AVASK's guide to VAT in Norway:
VAT in Norway
Norway is not a member of the European Union (EU) but is a member of the European Economic Area (EEA). Norway subscribes to all current EU VAT directives, which apply to all 27 member states of the European Union. Norway is also perhaps one of the easiest countries to do business with in the world owing to its strong currency and stable market.
Norway implements EU VAT directives through a unique EEA agreement with the EU, allowing them to freely access the EU's single market economy. Norway is not a part of the Eurozone and uses its own currency, the Norwegian Krone (NOK).
VAT registration in Norway
Both EU and non-EU businesses may trade in Norway without establishing a local presence. This is known as non-resident VAT trading. There is no VAT threshold in Norway for the registration of non-resident traders, but you will need one to record transactions and your Norwegian customers will want proof that you have obtained one.
There are strict rules on the situations where VAT registration is permitted. Common scenarios that require Norwegian VAT registration include:
- Importing goods into Norway;
- Holding goods in a warehouse in Norway as stock for resale;
- Buying goods within Norway that are subsequently re-sold in-country;
- Organising live events, conferences, etc. in Norway;
Norwegian VAT compliance
There are detailed rules controlling the recording and processing of Norwegian transactions for VAT purposes. This includes guidelines on:
- Norwegian invoice requirements;
- When to issue a Norwegian tax invoice;
- Foreign currency reporting;
- Credit notes and corrections;
- Correcting entries from prior returns;
- Which accounting records must be maintained.
Norwegian VAT rates
|VAT Rate||% Rate|
Country Profile: Norway
Norwegian E-commerce facts:
|Population||5.37 million |
|Currency:||Norwegian Krone (NOK)|
|Number of e-commerce users:||4.5 million |
|Revenue in e-commerce market:||£4.42 billion|
|Estimated market growth:||5.6% to £5.49 billion by 2024|
Norwegian thresholds and additional summary:
|VAT registration threshold:||NOK 50,000|
|VAT return period:||Bi-monthly|
|VAT return deadline||1 month and 10 days following period end|