Invoicing and Tax regulation in Norway
Invoicing Regulation in Norway
In Norway, all businesses must issue invoices complying with the Norwegian Accounting Act, the Value Added Tax Act, and the Bookkeeping regulation. Essential details like the name of the supplier and customer, date of issue, invoice number, quantity and nature of goods or services, and VAT amount must be included. Invoices exceeding NOK 10,000 must also include purchaser's ID or business registration number. Needless to say, adhering to these regulations is mandatory for any business operating in Norway.
Real-Time Reporting / Fiscalization in Norway
Unlike some other EU countries, Norway currently doesn't require real-time reporting or fiscalization for all types of businesses. However, the Norwegian Tax Administration encourages companies to gradually switch to digital bookkeeping and accounting. This includes reporting sales and VAT electronically, which would enable real-time monitoring and make audits more efficient.
E-Invoicing in Norway
E-invoicing is mandatory for B2G transactions in Norway as per European standard EN 16931. From 1st July 2022, all invoices above NOK 100,000 to the public sector have to be electronic. For B2B and B2C transactions, e-invoicing is preferred but it's currently not required by the law.
VAT/GST/Tax Compliance in Norway
Norway has a standard VAT rate of 25%, with reduced rates of 15% and 12% for certain goods and services. Businesses are required to charge VAT on most sales, but can deduct VAT on purchases related to those sales. Importantly, they must report and pay VAT every two months (or once a year for small businesses with a turnover of up to NOK 1 million). Compliance with these tax regulations is mandatory and enforced by the Norwegian Tax Administration.