How is VAT calculated in Sweden?

The standard VAT rate in Sweden is 25%. It applies to most goods and services. The two reduced VAT rates are 12% and 6%. Sweden also has some zero-rated goods, the sale of which must still be reported on your VAT return, even though no VAT is charged.

The first reduced VAT rate (12%) applies to some foodstuffs, non-alcoholic beverages, minor bicycle repairs, clothing and shoes, hotel accommodation, restaurant and catering services, collectors items and antiques.

The second reduced VAT rate (4%) applies to domestic passenger transport, books, newspapers, tickets to cultural and sports events, writers and composers, use of sporting facilities.

VAT (value added tax) is a type of consumption tax. The Swedish government applies it on the sale of goods and services.

VAT isn’t paid by businesses — instead, it’s charged to consumers in the price of goods, and collected by businesses, making it an indirect tax. Businesses are then responsible for reporting it to the government.

To work out the total price at the standard rate of VAT (25%), multiply the original price by 1.25. For the first reduced VAT rate (12%), multiply the original price by 1.12. For the second reduced VAT rate (6%), multiply the original price by 1.06.

What is the VAT price in Sweden?

Taxable supplies involve the supply of goods or services that are subject to various VAT rates, including zero, depending on the classification. Therefore, sellers of goods and services must charge the appropriate VAT rate to collect the correct tax amount which will be paid to the Swedish Tax Authority.

What is the VAT rate in Sweden 2023?

The Swedish VAT system is harmonised with the EU rules. The general VAT rate of 25% is chargeable on most goods and services. Reduced rates apply to a few goods and services, such as hotel accommodation, foodstuffs (excluding alcoholic beverages), restaurant meals, and low or non-alcoholic drinks (12%), as well as newspapers, magazines, books, e-books, passenger transport, maps, musical notes, some cultural services, transport in ski lifts, etc. (6%). Certain financial and insurance services are exempted from VAT.

VAT returns are filed and tax is paid monthly or quarterly. VAT returns must be filed monthly if the VATable turnover is estimated to exceed 40 million Swedish kronor (SEK) (estimated yearly sales excluding any reverse charge or import acquisitions). Companies with VATable turnover below SEK 40 million report VAT quarterly or may choose to report VAT on a monthly basis. For companies with a turnover of less than SEK 1 million, VAT is reported on a yearly basis in the VAT return, and these companies may also choose to report VAT quarterly or on a monthly basis.

As a member of the European Union, Sweden is also part of the Customs union enforcing the Community Customs code. Most EU Customs duties are calculated as a percentage of the value of the goods being imported. All imported goods must be classified according to the EU Customs tariff (TARIC), and the duty rates applied depend on the economic sensitivity of the goods. The actual duty rate to be applied also depends on other factors, such as the country of origin of the product and any free trade agreements that may be applicable.

Which country has highest VAT rate?

Discover the current ‘vat rates by country’ for nations outside Europe that levy VAT or GST taxes globally. For information on European VAT rates, please visit our separate page by Clicking Here.

It’s important to note that ‘vat rates’ vary as not all countries implement Value Added Tax (VAT). In some nations, VAT is only applicable to specific goods and services, while in others, it’s a broad-based tax applied to most items. The implementation and rate of VAT, determined by each respective government, differ from country to country.

Can you get VAT back in Sweden?

This page deals with refunds for cross-border transactions, it does not address VAT refunds where both vendor and customer are based in the same country. If you are travelling to or conducting business with companies in Sweden, you may be eligible to claim back Swedish VAT. We have compiled everything you need to know on this page about VAT refund eligibility, Swedish VAT rates, deadlines for claiming the VAT back, the common services with refundable VAT and the processes to recover Swedish VAT.

If you are a VAT registered company in an EU Member State and have conducted cross border transactions in another Member State where you are not VAT registered then you are eligible to recover the VAT according to Articles 170-171a VAT Directive and following the full rules laid out in Directive 2008/9/EC .

Everything you need to know about recovering taxes from cross-border business activity and travel.

Do you get VAT back in Sweden?

You are entitled to a refund of Swedish VAT refund if:

a product has been delivered to you, or imported to Sweden
a service has been provided to you
you have paid in advance for goods or services that you have ordered.

After March 31, 2021, UK-traders with the Country Code GB in their VAT numbers will no longer be able to apply electronically for refund of Swedish VAT. After this date, you’ll need to make your claim using the 13th VAT Directive process for non-EU businesses. The application must be sent in paper to the Swedish Tax Agency. Special rules will apply for Northern Ireland. For VAT that has been paid during 2020 we strongly recommend that you apply electronically for a refund before the above-mentioned deadline.

How much is VAT refund in Sweden?

Everything you need to know about recovering taxes from cross-border business activity and travel.

How do I get a VAT refund in Sweden?

You do not need to submit any invoices with your application unless these have specifically been requested by the Swedish Tax Agency. However, you should state the taxable sum and the amount of VAT (in Swedish krona, SEK) for each invoice and import document.

For each invoice and import document, you must specify the goods or service provider’s VAT registration number, at least one refund code, and any relevant subcodes.

Which EU country has highest VAT refund?

Value Added Tax (VAT) – what is it? In life there are two things that are certain: death and taxes. If only there was a way that paying VAT could be avoided…

In this short article we will go over all the essential characteristics of VAT. For example: What is it? Why does it exist? How does it work? Who is eligible for a VAT refund? By the end, all of your questions will be answered!

What is the minimum VAT refund in Sweden?

If you have permanent residence in a non-EU country - except for Norway and Åland.
If you are a non-EU citizen who has a residence or work permit in EU, Norway or Åland, and you have obtained an official document from the tax authorities confirming that you are no longer living in EU, or Norway. The document cannot be older than 3 months.
If you are a EU or Norway citizen who has a 1 year residence, or work permit in a non-EU (and Norway) country and you can prove that you are no longer living in the EU.

VAT Rate in Sweden is higher than average. It means you can get potentially higher VAT refund as a tourist.
There is no non-refundable item for tax free shopping in Sweden.

What is the minimum purchase for VAT refund in Sweden?

* EU VAT standard rates are set by member countries and can fluctuate. Your refund will likely be less than the rate listed above, especially if it's subject to processing fees.

How do I claim my VAT refund in Sweden?

If you have Swedish e-identification, you can register a bank account with the Swedish Tax Agency in any of the following ways (the e-services are in Swedish):

on “Mina sidor” (“My pages”)
by logging into our tax account e-service “Skattekonto”
when using our “Inkomstdeklaration 1” (“Income Tax Return 1”) e-service or the Swedish Tax Agency app to file your tax return.

If you do not have Swedish e-identification, you can register a Swedish bank account for tax refunds via Bankgirot’s website:

Your registered foreign bank account will remain valid until you deregister it or register a different account. Your bank will not revoke your account number, even if you close your account. If you wish to deregister a foreign bank account, you must notify the Swedish Tax Agency in writing.

If you wish to register a foreign bank account, or update your account details, you must send us the documents listed below. Please note that you must submit original documents, so you cannot send copies by email or fax.

What is VAT and how does it work?

VAT meaning – a type of tax, on the goods or services, which is collected on any value added during the production and the final stage. With additional value which is created during the production process, Value-Added Tax appears and is applied to most of the sales of goods and services. What does VAT stand for?

What is VAT rate in Sweden?

Value-added tax (VAT) The Swedish VAT system is harmonised with the European Union (EU) rules. The general VAT rate of 25% is chargeable on most goods and services. Reduced rates apply to a few goods and services, such as foodstuffs, restaurant meals, and non or low alcoholic drinks (12%), as well as to transport of passengers (6%).

What does VAT mean in shipping?

When calculating VAT for your shipping, always use the VAT that applies to the goods you are shipping. That means that the VAT for shipping costs varies, depending on which type of products you are sending. Currently there are three different VAT rates: 0%, 5% or 20%.

What is standard VAT?

Value Added Tax (VAT) is a tax applied on the value added to goods and services at each stage in the production and distribution chain. It forms part of the final price the consumer pays for goods or services. In some countries it is called ‘Goods and Services Tax’ or GST.

What is VAT and how does it work?

VAT meaning – a type of tax, on the goods or services, which is collected on any value added during the production and the final stage. With additional value which is created during the production process, Value-Added Tax appears and is applied to most of the sales of goods and services. What does VAT stand for?

What is VAT rate in Sweden?

Value-added tax (VAT) The Swedish VAT system is harmonised with the European Union (EU) rules. The general VAT rate of 25% is chargeable on most goods and services. Reduced rates apply to a few goods and services, such as foodstuffs, restaurant meals, and non or low alcoholic drinks (12%), as well as to transport of passengers (6%).

What does VAT mean in shipping?

When calculating VAT for your shipping, always use the VAT that applies to the goods you are shipping. That means that the VAT for shipping costs varies, depending on which type of products you are sending. Currently there are three different VAT rates: 0%, 5% or 20%.

What is standard VAT?

Value Added Tax (VAT) is a tax applied on the value added to goods and services at each stage in the production and distribution chain. It forms part of the final price the consumer pays for goods or services. In some countries it is called ‘Goods and Services Tax’ or GST.