Norway Tax Agency Clarifies VAT Treatment Regarding Building, Construction Services

The Norwegian Tax Administration Dec. 4 posted online a statement of principle clarifying the VAT treatment of building and construction services. The clarification explains that: 1) the registration is required when the turnover and withdrawals covered by the legislation together exceeds 50,000 Norwegian kroner (US$4,575) in a 12-month period; 2) If the trader provides multiple services outlined in Section 3-26, the requirement to calculate output VAT and the right to deduct input VAT are extended accordingly; 3) under a turnkey contract, the contractor is required to compute VAT based on the entire consideration for assignments under foreign auspices; 4) a ...