VATLive > Blog > Norway > Norway extends reduced VAT cut

Norway extends reduced VAT rate cut

  • May 21, 2021

Norway’s Ministry of Finance has confirmed it wishes to extend the temporary reduced VAT rate reduction until 30 September 2021. 

The reduced rate on accommodation, leisure and transport was originally 12%, but reduced at the start of the COVID-19 crisis in April 2020. This was firstly to 7%, then 6%. The rate applies to cinema admission, public transport, hotel accommodation services, entrance to cinemas, museums and amusement parks. In November 2020, it was rolled over to the current deadline of 30 June 2021. Norway’s reduced rate had been 10% until 2018 when it was increase to 12%.

A range of other countries have also cut their reduced VAT rates to give hospitality and accommodation sectors some relief during the coronavirus crisis. This has included: Germany; Belgium; the UK; Austria and Ireland.  Most of them have similarly rolled over the tax subsidies at lockdown has been extended.

 


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