Norway introduced its value added tax (VAT) system in 1970 as part of a broader reform of its indirect tax framework. Although Norway is not a member of the European Union, its VAT regime is closely aligned with EU VAT principles through the European Economic Area (EEA) agreement, while remaining governed by domestic law.
Norwegian VAT (locally known as Merverdiavgift (MVA)) is governed by the Norwegian Value Added Tax Act and related regulations and is administered by the Norwegian Tax Administration (Skatteetaten). Skatteetaten is responsible for issuing guidance, managing VAT registrations and returns, overseeing digital reporting requirements, and enforcing compliance with Norwegian VAT law.
Businesses carrying out taxable activities in Norway — whether resident or nonresident — must comply with Norwegian VAT obligations. This includes registering for VAT when required, applying the appropriate VAT rates, issuing VAT-compliant invoices, maintaining accounting and tax records, and filing periodic VAT returns in accordance with Norwegian tax rules.
