New digital VAT return in Norway in 2022

A more detailed digital VAT return will be introduced in Norway in 2022. The authorities are also considering the obligation to report transaction level of data. We still need confirmation on how this will be adjusted to foreign businesses registered for VAT.

New and improved digital VAT return in Norway

The Norwegian tax authorities announced that changes were to come about regarding VAT returns starting in January 2022. These changes were made to streamline current VAT procedures in light of a modernizing digital world. Additionally, changes regarding VAT registrations can be expected to roll out in the first quarter of 2021.

The testing phase will begin around the third quarter of 2021, and we will continue updating as soon as more information is revealed.

Changes to the current VAT return

Norwegian VAT registered companies are familiar with the current VAT return submitted via Altinn. The normal 19 boxes will be extended to 30 boxes, and the return will be based on SAF-T (Standard Audit File for Tax) codes. This modification aims to make more detailed reports possible, even including reporting on bad debts, VAT corrections, withdrawals, and adjustments. There are over 30 projected SAF-T codes, and only codes on each company’s specific business activity will be used on their VAT returns.

Since foreign non-established businesses with a VAT registration in Norway do not have to submit a SAF-T return, we expect the tax authorities to confirm the scope of these changes for such VAT registrations. 

Other countries have adopted similar methods, such as Poland with their SAF-T reporting, and the UK expecting to make digital links mandatory via Making Tax Digital (MTD) in April 2022 for all UK VAT registered companies.

Preparing for the changes

With the proposed initiation date of 1 January 2022, businesses should start looking into how they can prepare their current reporting and accounting systems for the digital VAT return.

Businesses will hopefully be able to report directly from their accounting systems. This means that manual changes will not be as easily made, and businesses should evaluate their current systems to make sure that transactions are correctly reported. Furthermore, businesses should be certain to introduce all relevant information into their systems correctly to ensure accurate reporting on the digital VAT return.

Get in touch

Contact us today to learn more about these changes and how they could affect your current accounting systems and reporting methods.


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