Frequently asked questions about Norwegian VAT

What is VAT?

VAT is the abbreviation of Value Added Tax. VAT is in general due when goods and/or services are sold. It applies to most goods and services that are bought and sold for use or consumption in Norway. It is a consumption tax because it is ultimately borne by the final consumer.

Who must pay VAT?

Generally, VAT is invoiced by the supplier that is selling goods or services and collected from the customer. Subsequently, the supplier reports and remits the collected VAT to the tax authorities.

If you are a business customer, you should provide your VAT Number to Zoom. Please refer to the How do I enter my VAT number? section below for details on how to do this. If the VAT number is valid, then no VAT will be charged on the supplies made to you by Zoom. If you do not have a VAT number, then VAT will be charged on the supplies made to you by Zoom.

Why am I being charged VAT?

Video conferencing services and telecommunication (in the form of electronic communication services) supplied by Zoom fall within the rules concerning Electronically Supplied Services (ESS) in Norway.

Pursuant to the Norwegian VAT Act, those services supplied to end customers (commonly referred to as B2C supplies as the recipient is not registered for VAT) are subject to Norwegian VAT, provided that the recipients are resident within the Norwegian VAT territory.

Zoom will not charge VAT on B2B supplies of ESS to customers in Norway. Instead, the VAT on B2B supplies of ESS should be self-accounted via the reverse charge mechanism by the recipient of the supply, for example, the Norwegian business entity or public enterprise that purchases the supply from Zoom.

What is a “legal entity registration number” (organization / VAT number)?

An organization number is a unique 9-digit number assigned to all organizations that are registered in the Central Coordinating Register for Legal Entities in Norway.

Entities which are registered in the VAT Register in Norway are required to add the letters MVA as a suffix to the organization number. The organization number followed by the letters MVA is the Norwegian VAT number of the entity.

The VAT number should appear on tax invoices issued by the supplier. As such, if you are a business customer please make sure your VAT number is added to your Zoom account. Please refer to the How do I enter my VAT number? section below for details on how to do this.

Does Zoom have a VAT number?

Zoom is registered for VAT in Norway through the VOEC scheme.

The VOEC scheme is a simplification available for taxable persons that are not established in Norway, to collect and remit VAT on supplies of telecommunications and/or electronically supplied services made to non-business (B2C) customers in Norway.

How do I enter my VAT number?

To provide your VAT, follow the steps below depending on where your billing portal is located in the left navigation menu of the Zoom web portal. Not sure how to identify where your billing portal is located? Learn how to locate your billing settings.

Zoom performs periodic validation checks of customer VAT numbers to ensure that the VAT number remains valid. If, during these periodic validations, it is identified that your VAT number is no longer valid, Zoom may automatically update your account so that future invoices are subject to VAT. Where this happens, VAT will be charged on all future invoices until such time that a valid VAT number is provided.

You are required to notify us if there is a change to your business registration status.

What happens if I do not have a VAT number?

If a customer in Norway is unable to supply a valid Norwegian VAT number, Zoom will charge and collect Norwegian VAT on its supplies to you.

Do I need to have Zoom’s VAT number?

No, Zoom is registered for VAT in Norway through the VOEC simplification and will only collect VAT on B2C supplies. There is no formal requirement to show Zoom’s VOEC number on the invoices it issues.

How is Zoom determining which customers Norwegian VAT applies to?

If you have not provided a Norwegian VAT number and you are resident in Norway, Zoom will charge Norwegian VAT on it supplies to you.

Zoom will treat any customers with a Sold To address as being resident in Norway. This information is subject to cross-referencing against other data to verify that the Sold to country is accurate.

It is your responsibility as a customer to ensure that your sold to address is accurate.

Will VAT apply if a Norwegian company purchases Zoom for use in a location outside of Norway?

Yes, to the extent that the recipient is a business or public enterprise resident in the Norwegian VAT area and the service is taxable when supplied within the Norwegian VAT area.

Generally, services provided by Zoom to a business customer that is not resident in Norway should not be subject to Norwegian VAT.

Is there a minimum threshold purchase amount before VAT is applied?

No, VAT applies to all sales of Zoom’s services where a customer is resident in Norway and a valid VAT number is not provided by the customer.

What exemptions are available?

If you have provided a valid Norwegian VAT number then no VAT will be charged; however, you may be required to self-account for VAT under the reverse charge mechanism.

Are there any special exemptions applicable for charities under which VAT may not be charged?

Based on current VAT legislation in Norway, services that are provided free of charge for charitable purposes may be zero-rated for Norwegian VAT purposes.  However, whether the exemption applies will need to be examined on a case by case basis.  If you think this exemption may apply, please contact our billing team with details of your circumstances by chatting with Billing.

Are there any VAT obligations for me as a customer?

If you have provided a valid VAT number no VAT will be charged to you. However, you may have a requirement to report the purchase of services through your VAT return via the reverse charge mechanism.

If I have entered my VAT number will Zoom issue me an invoice?

Yes, Zoom will issue an invoice for all supplies made to business customers.

On the invoice you receive from Zoom if you have entered your VAT number in your Zoom account your invoice will show your VAT number, business name as well as other details specific to the supplies Zoom makes to you. 

If I do not have a VAT number will I get an invoice?

Yes, Zoom will issue an invoice for all supplies made to non-business customers where VAT is charged.

What if I have a VAT number and forget to enter it?

The VAT number can be entered at any time.  If entered before the next invoice is issued, Zoom will not charge VAT on the next invoice or future invoices issued to you. If no VAT number is entered at the time the next invoice is issued, VAT will be charged until a valid VAT number is entered. 

If a valid VAT number is entered and VAT has previously been charged on the invoices issued to you, then upon request by you, Zoom may refund for any VAT included on invoices issued in the thirty days prior to a valid VAT number being provided. However, VAT will not be refunded on any invoices issued outside of this thirty-day period.

Decision tree – I am resident in Norway; will I be charged VAT?

Disclaimer

Every customer is unique and so are their specific tax circumstances. The above stated information should not be considered as tax advice, but as a general overview of relevant tax rules. Zoom cannot provide you with tax advice for your individual situation, and therefore we strongly recommend speaking with a professional tax advisor for tailored advice.