The Norwegian Parliament has decided that from January 1, 2020, the VAT exemption of NOK 350 will be abolished for all goods defined as edible and foodstuff. Tax exemption for these goods applies to both business and consumer shipments. VAT and other duties apply from all values. For shipments to consumers, VAT, import duties and possible excise duties are levied at the time of import into Norway. The decision to abolish the NOK 350 VAT exemption will be completed in two steps:
As of January 1, 2020, the tax exemption for goods defined as edible and foodstuffs of less than NOK 350 will be abolished. VAT, import duties and possible excise duties apply from all values for all shipping categories - business and consumer.
As of April 1, 2020, an abolition of NOK 350 and tax exemption for all other goods has been announced.
What does this mean?
January 1, 2020
All edible goods are subject to VAT and excise duties.
Full formal approval and declaration required.
Applies to business and consumer shipments for all goods defined as edible and foodstuff.
VAT, duties and possible excise duties are levied at the time of importation into Norway.
April 1, 2020
Import VAT exemption NOK 350 will be abolished.
The full VAT exemption for goods below NOK 350 will be canceled, which means that a calculation of VAT will take place for all goods with all values.
A simplified system is introduced - VAT On Electronic Commerce (VOEC).
Merchants and online marketplaces register, declare and pay VAT on business-to-consumer (B2C) supplies of low-value goods.
VOEC goods are exempt from duties, there is no obligation to file a declaration, but shipments must be presented via invoice including VOEC ID number.
For B2C non-VOEC in value range 0-3000 NOK - these will undergo a simplified procedure.
For B2B all values, B2C & C2C with a value above NOK 3000 and/or P&R - full formal statement required.
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