VATupdate

VAT Rates in Norway

Quick overview

Standard Rate Reduced Rate Other Rates
25% 6%, 12%

The local name for VAT in Norway is  ”Merverdiavgift (MVA)”.

There are basically 3 VAT rates in Norway:

  • Standard VAT rate is 25%
  • Reduced VAT rate is 6% and 12%

Recent developments

For more information about (recent) rate change developments in Norway, please click here.

Further extension of the 6% reduced VAT rate provided from 1 April 2020 in response to COVID-19 for passenger transport, overnight accommodation, public broadcasting, and access to cinemas, museums, amusement parks, and sporting events, among others. The reduction in the reduced rate from 12% to 6% was previously extended to 30 June 2021 and it is now proposed that the reduced rate for such supplies be extended to 30 September 2021.

Standard rate: 25%

This rate applies for all transactions that take place in Norway, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).

Zero rate (0%)

Norway applies various exemptions with a refund of tax paid at preceding stages (zero rates):

• Exports
• Supplies to foreign ships, and aircraft and ships involved in foreign trade
• Books and newspapers (including e-newspapers and e-journals)
• Transfer of a business as a going concern
• International transportation services (goods and passengers)

Examples of exempt supplies of goods and services without the right to deduct VAT:

• Financial services
• Insurance
• Lease of residential property
• Medical services (At the time of preparing this chapter, the government has proposed to exclude certain medical services from this exception. It is proposed, as of 1 January 2021, that the medical treatments regarded “alternative medical treatment,” cosmetic surgery and cosmetic treatment will be deemed a taxable supply, subject to VAT at the standard rate.
• Educational services
• Real estate transactions
• Specified cultural and sporting event

Reduced rate: 6%

• Food (excluding alcohol and tobacco, and supplies in restaurants)

Reduced rate: 12%

• Domestic passenger transportation services (excluding the leasing of vehicles as such)
• Television licenses
• Hotel accommodation
• Museums
• Amusement parks
• Galleries
• Bigger sport events

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on May 17, 2021.

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