Sweden Tax Agency Clarifies VAT Rules on Non-Fungible Tokens

The Swedish Tax Agency March 28 issued Statement No. 8-2837945, clarifying VAT rules for non-fungible tokens (NFTs) with a digital work linked to the NFT. The clarification explains that: 1) the 25 percent general tax rate applies to NFTs with a linked digital work; 2) the NFT includes ownership of both the digital work and the NFT itself; 3) the Tax Agency considers the transfer of an NFT as a transfer of both the NFT and the digital work as a single transaction for tax purposes; 4) transactions involving NFTs with digital works are treated as electronic services, for VAT, ...