Norway VAT for clients

Upwork is required to collect Norway’s 25% VAT on services like marketplace and recruiter fees unless clients provide a valid VAT ID. A valid ID prevents VAT charges and must follow the 123456789MVA format. Tax location changes may impact VAT collection, and no exemptions currently apply.

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In this article

• What services do VAT apply to in Norway?
• What's the VAT rate for Norway?
• What happens if I provide my Norway VAT ID?
• What's the Norway VAT ID format?
• Are there exemptions to the Norway VAT?
• How does changing my location or information affect my Norway VAT?
• Disclaimer

What's the Norway VAT and why does Upwork collect it?

Value-added tax, or VAT, is a tax on goods or services, including our services to you, and Norway requires Upwork to collect it and send it to the government of Norway unless you provide a valid VAT ID.

We’re required to comply with the tax laws of countries where we do business to operate there. 

What services do VAT apply to in Norway?

Examples of services that VAT applies to include:

• Marketplace Fee
• Contract Initiation Fee
• Conversion Fee
• Recruiter Fee
• Featured Job purchases

Since we charge tax when your government requires it, this tax may change or apply to additional services in the future.

What's the VAT rate for Norway?

Norway's VAT rate is 25% of the cost of the service being taxed. Example: On $100 USD in client marketplace fees, you will pay $25 in tax, for a total of $125.

You’ll see the estimated amount of tax when you check out and on your invoices and transaction history.

What happens if I provide my Norway VAT ID?

• If you provide a valid VAT ID to Upwork in you Tax information, we will not have to collect this tax from you
• We’ll check whether the VAT ID you provide is valid and provide you a prompt response. You can also see your VAT ID status on your Tax information page
• The VAT ID you provide displays on your invoices. To change what displays there, you'll need to update your VAT ID

What's the Norway VAT ID format?

Your Norway VAT ID is a unique ID that you may request from your government by registering for VAT in Norway— not your tax ID number. It has 12 alphanumeric characters — 9 numeric digits followed by the characters MVA — like this, for example: 123456789MVA.

To learn more, visit the Norway tax authority’s website.

Are there exemptions to the Norway VAT?

Norway does not offer any applicable exemptions from VAT on services Upwork provides, but you can avoid VAT charges being collected by Upwork by providing a valid VAT ID.

What if I change my location or information—how does that impact Norway VAT?

If you update your tax residence in your Tax information, we'll automatically adjust your VAT based on your new country's rates, if any.

You may have to revalidate your VAT ID when you change locations, or if you make other changes to your information, such as changing your legal name.

Disclaimer:

This article is for general information only and should not be considered tax advice. It may not be updated in real time and may not reflect recent changes. We strongly encourage you to consult your country’s tax authority or your tax advisor with questions related to your specific situation.

Frequently Asked Questions

Who has to pay VAT in Norway?

Norway’s VAT applies to services we provide to both freelancers and clients if they reside, have a permanent address, or are established in Norway and have not provided us with a valid VAT ID.

Do I have to provide a Norway VAT ID to Upwork?

No. But if you don't provide a valid VAT ID, we're required to charge you VAT and remit it to the Norway government.

If you provide a valid VAT ID, we will not be required to collect the tax. To enter your VAT ID, go to your account’s Tax Information.

What if I’m only residing in Norway temporarily?

We're still required to collect VAT even if you are only residing in Norway temporarily. If you move to another country, you can update your tax residence in your Tax Information. We'll automatically adjust your VAT to correspond with the rates in your new country of residence or stop collecting if there is no VAT, or a similar tax, in your new country.

If I pay Norway VAT before I enter a valid VAT ID, will you refund that money once I enter it?

No, we remit that money directly to the Norway government and will not be able to refund it. You may be able to claim a credit with your tax authority for what you paid. We recommend that you consult with your government’s tax authority or your tax advisor for more information.