VAT Exemption for Canteen Contributions: New Clarifications for Employers and Providers

• There has been uncertainty about whether canteen providers should charge VAT when employers pay canteen contributions.
• Recent court rulings and statements have clarified that if the canteen provider buys the food and sells it to employees, no VAT is required on employer contributions.
• If the employer buys the food and the canteen provider only supplies services, VAT must be charged on the contribution.
• A recent court case ruled in favor of ISS, stating VAT was not owed due to formal errors by the tax authorities.
• The tax authorities now accept VAT exemption when the canteen provider buys the food, but require VAT when the employer buys the food.

Source: pkf.no

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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