Sweden Tax Agency Clarifies VAT Taxation Rules for Permanent Use of Rented Property for Business

The Swedish Tax Agency Dec. 13 issued Statement No. 8-2671490, clarifying rules for voluntary VAT taxation for the permanent use of rented property for businesses. The taxpayer sought guidance on the scope of rental property for the permanent use of the voluntary VAT tax liability. The clarification explains that: 1) property owners, bankruptcy estates, or value-added tax groups must rent out a local area for permanent use in businesses with deduction or reimbursement rights; 2) the requirement of permanent use when renting out premises for multiple tenants simultaneously or alternately; 3) landlords must demonstrate their intention to rent premises for ...