8.1 Taxable amount
Output tax is calculated on payments for supplies of goods and services which are liable to VAT. The VAT itself is not included in the calculation basis.
The calculation basis includes:
- all costs in connection with the fulfilment of the agreement, including costs for packaging, dispatch, insurance and similar, which form a part of the payment, or for which a separate payment is required
- customs duty and other duties pursuant to legislation, excluding tax pursuant to the Storting’s ruling relating to non-recurring tax
- connection charges, fees and other amounts incurred in connection with the supply of goods or services
- auctioneers’ fees, commissions and similar and
- service charges and similar.
Legally enforceable debt and reminder charges shall not be included in the calculation basis.
Special regulations apply to credit purchases.
8.1.1 Second-hand goods, works of art etc.
There are special rules on a reduced calculation basis for VAT on the sale of second-hand goods, works of art, collectors’ items and antiques. The rules mean that dealers who are liable for VAT may use their gross profit instead of the total sales sum when calculating VAT on second-hand goods etc. which they in turn purchased from the general public or from others who are not allowed to charge VAT on the sale to the dealer. For each sale the dealer may choose whether to apply the ordinary rules for the calculation of the VAT or the new gross profit system. In the case of sales by auction, VAT is calculated on the auctioneer’s fees.
8.1.2 Exchange, withdrawal and community of interest
In the event of an exchange of goods or services, the ordinary supply value is used as the basis for the calculation of VAT. The same applies when VAT is calculated on withdrawals, and in connection with community of interest.
The price that the relevant taxable person would have charged for an ordinary sale is used as the calculation basis, not the price he himself paid.
8.2 VAT rates
The standard rate of VAT is 25 per cent. In the case of domestic sales, VAT is calculated on the sales price, and in the case of imports, it is calculated on the customs value.
The rate of VAT on the supply of foodstuffs is 14 per cent. Foodstuffs means any item of food or drink or any other goods intended for human consumption. Medicines, water from water utilities, tobacco products and alcoholic drinks are not included.
VAT is calculated at 8 per cent on the supply of passenger transport services and the procurement of such services, on the letting of hotel rooms and holiday homes, and on transport services regarding the ferrying of vehicles as part of the domestic road network. The same rate applies to cinema tickets and to the television license.
In the case of the supply of raw fish to, or via, a fishmongers’ co-operative established pursuant to the Raw Fish Act, a special rate of 11.11 per cent shall be applied.