What is Merverdiavgift — MVA (Norwegian VAT)?

Merverdiavgift (MVA) is Norway's value added tax, administered by Skatteetaten. Norway is not an EU member but its MVA system closely mirrors the EU VAT Directive through the EEA Agreement, though with some notable differences.

**Three rates**

Norway operates three positive MVA rates: - **25% standard rate**: applies to all goods and services not specifically covered by a lower rate or exemption. Most business-to-business services, professional fees, software, electronics, clothing, and most retail goods. - **15% food rate**: applies to food and non-alcoholic beverages sold from shops and supermarkets. Does NOT apply to restaurant and catering services (those are standard 25%). The distinction between 'food' at 15% and 'restaurant service' at 25% is sometimes complex — a hot takeaway from a fast food counter is typically 25%, while cold food from a supermarket deli is 15%. - **12% low rate**: applies to passenger transport (bus, train, ferry, air within Norway), hotel and guesthouse accommodation, letting of holiday cabins, cinema tickets, sport events (watching, not participating), and amusement parks.

Certain supplies are zero-rated (0%): exports of goods and services, international transport, supplies to oil platforms, newspapers and periodicals, books (physical), and some other specific categories.

Exempt (outside the MVA system, no VAT charged and no input VAT recovery): financial services, healthcare, education, and social services.

**Registration**

Any business with taxable turnover exceeding NOK 50,000 in a 12-month period must register for MVA with Skatteetaten. Registration is done through Altinn.no. Once registered, you add MVA to your sales invoices, claim input MVA on business purchases, and file regular MVA returns.

**Filing and payment**

Most businesses file MVA returns every two months (bimonthly/biannual periods), due on the 10th of the third month after the period ends. For example, the January-February period return is due 10 April. Small businesses with annual taxable turnover below NOK 1,000,000 can apply for annual MVA filing (frist 20 March for the previous year).

**Input MVA recovery**

Registered businesses can deduct input MVA on purchases used for MVA-able activities. Mixed-use (partly exempt activities) requires an apportionment calculation. Capital goods adjustments (justeringsregler) apply to real estate and capital items over NOK 50,000 for a 10-year adjustment period for real property.

**Non-established businesses**

Foreign businesses supplying digital services to Norwegian consumers must register under the VOEC (VAT on E-Commerce) scheme when sales exceed NOK 50,000.