- Norway will implement new VAT rules for cross-border services affecting Multi-Location Entities (MLEs), especially in the financial sector, effective 1 July 2026.
- The amendments align with the OECD destination principle, taxing services where they are consumed, and are based on the OECD’s Recharge Method.
- The new rules aim to address unequal tax burdens between MLEs and domestic businesses but differ from EU rules, increasing complexity and administrative burdens.
- There is a risk of double taxation, but a safety valve is proposed to mitigate this.
- Remotely deliverable services purchased by MLEs outside Norway will be subject to Norwegian VAT if used (fully or partially) in Norway and not otherwise exempt.
Source: schjodt.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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