Norwegian Tax Appeals Board Clarifies VAT Deduction Rules for Accommodation Costs in Industrial Projects

• The Norwegian Tax Administration released a decision on VAT deduction rules for accommodation costs in barracks.
• A company in the oil and gas sector claimed VAT deductions for lodging employees and hired personnel near work sites.
• The Tax Office initially denied the deduction, stating the costs were not linked to the company’s registered business activities.
• The taxpayer appealed, providing documentation to support the necessity of the accommodations.
• The Tax Appeals Board partially upheld the claim, allowing VAT deduction for qualifying accommodation costs.
• The decision was based on the connection of lodging expenses to business operations and the necessity for fulfilling contractual obligations at remote sites.

Source: news.bloombergtax.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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