Sweden Tax Agency Clarifies VAT Exemption Scope for Social Care Services, Closely Related Supplies

The Swedish Tax Agency March 16 issued Position Statement No. 8-95140-2026, clarifying the VAT exemption scope for social care services and closely related supplies under the VAT Act. The clarification explains that: 1) services of a social nature are VAT-exempt in cases where the public sector is legally responsible for the service, or where the service is regulated under applicable legislation, and largely publicly financed; 2) private providers may qualify as recognized social operators if there is sufficient public-law oversight, control, and indirect or direct public financing; 3) goods or services closely linked to exempt social care are VAT-exempt in ...