VAT Rates, Daily and Mileage Allowances and Paperless in Norway

VAT rates in Norway

Norway imposes Value Added Tax (VAT) at different rates as follows for various goods and services:

1. Standard rate - 25%

The standard Norwegian VAT is applicable to all taxable goods and services, except when a specific measure allows for a reduced rate.

2. Reduced rate - 15%

Supply of food and beverages.

3. Reduced rate - 12%

Domestic passenger transport services, accommodation services, cinema tickets, museum and gallery tickets, and sports events.

4. Zero rate - 0%

E-books.

Source: https://www.skatteetaten.no/en/rates/value-added-tax/

Daily allowances in Norway

Domestic daily allowance

For a business trip to be considered as a journey involving an overnight stay, the employee must spend more than five hours of the night away from home. In this context, 'night' is considered to be the period between 22:00 and 06:00.

Journeys lasting more than six hours into a new day will entitle the travelling employee to the full daily subsistence allowance according to the same rate as the previous day (full day).

Journeys lasting fewer than six hours into a new day will not entitle the employee to the payment of a subsistence allowance.

Overnight allowance

If an employee arranges accommodation themselves on domestic business trips (e.g. private accommodation), an undocumented night supplement not subject to payroll withholding tax of NOK 452 per day may be paid.

Deductions are calculated from the full per diem amount as follows:

In the case of travel involving one or more overnight stays, the location where the overnight stay takes place (accommodation type- determines the amount that can be paid as a subsistence allowance not subject to payroll withholding tax.

If several countries are visited during the same day, the country in which the traveler stayed the longest determines the travel allowance rate.

If a trip lasts for more than 28 continuous days at the same location outside of Norway, the meal allowances per state rate are reduced to 75% of the original amounts from day 29 onwards.

Source: https://www.skatteetaten.no/en/rates/board-and-lodging---rates-for-deduction-and-tax-free-allowances/

Forskrift om satser mv. til bruk for forskudd og skattefastsetting for 2026 - - Lovdata

Mileage allowances in Norway

Employees travelling for business in Norway with a private vehicle may be entitled to a tax-free milage allowance, the rates of which are as follows:

Additional rate

NOK 1,00 per km:

• Per passenger

• For driving on forest and construction roads

• For bringing equipment and materials (equipment that because of its weight and/or condition would not be suitable for transport in the trunk or on a roof rack, for example when using a trailer).

Source: Forskrift om satser mv. til bruk for forskudd og skattefastsetting for 2026 - - Lovdata

Electronic archiving and retention period in Norway

Those obliged to keep records may store electronic accounting material in another EEA country if an agreement or agreement with the country in question ensures satisfactory access to the accounting information for control purposes by the Norwegian tax and excise authorities during the storage period, and such storage will not hinder an effective Norwegian police investigation. The accounting material must be available in readable form and must be able to be printed on paper from a terminal or similar in Norway throughout the retention period. The person obliged to keep records must inform the Tax Directorate in writing about which accounting material is kept abroad, where the accounting material is kept, and how the control authorities can gain access to the accounting material at any time.

Recorded information according to section 7, first paragraph, which is initially available electronically, must be available electronically for three years and six months after the end of the accounting year.

Source: https://lovdata.no/dokument/NL/lov/2004-11-19-73/%C2%A713#%C2%A713

https://lovdata.no/dokument/SF/forskrift/2004-12-01-1558/KAPITTEL_7#%C2%A77-5

https://www.skatteetaten.no/en/rettskilder/type/kunngjoringer/dispensation-from-the-requirement-to-store-electronic-accounting-records-in-norway---taxable-entity-without-a-place-of-business-or-domicile-in-the-vat-area-nor-a-vat-representative/