Value added tax - VAT
VAT is the English word for the Swedish counterpart moms. It's a relatively new "invention" which arrived in the western economies during the 50s and 60s. But the idea initially came already in the year 1918 from the German industrial inventor Dr Wilhelm von Siemens, who started his company by building telegraph networks.
It's interesting that a businessman came up with the idea which is predominantly connected to the state and the Tax Authorities today. VAT is a significant contributor to the welfare states of many modern economies. Now when the "new" economies around the world are getting more mature, they are also implementing VAT to meet the demands from the growing middle classes, and the need for public hospitals, schools and social security systems.
VAT rates in Sweden
25% VAT is the standard rate for most services and products
12% VAT in Sweden
- Food and drinks (alcohol is 25%)
- Restaurant services (alcohol is still 25%)
- Minor repairs of bicycles, shoes, leather, cloths and similar garments
6% VAT in Sweden
- Books and newspaper
- Passenger transport, taxi
- Oprah entrance fee
- Many sporting and cultural events
- Notes, maps and navigational charts
- Drawing books for children
- Copyright related stuff
The above is a general categorisation, many strange and illogical exceptions exist. If you have specific questions or would like to know more about accounting and tax issues in Sweden, or EU, then send a message with this contact form in English.
VAT and Tax help for small businesses
This site is currently mostly in Swedish. The intention of this website is to help small businesses and entrepreneurs to comprehend the often complicated and confusing Swedish VAT and Tax system.
Check EU VAT numbers
Accounting & Finance Blog in English
English speaker in Sweden?
Are you an immigrant or foreign businessman in Sweden? Do you find it hard to get information in English about VAT and Taxes? I'm not just a small business entrepreneur -I'm a freelancer everything. I also do translations between English and Swedish. Do you require any VAT and Tax related texts or documents translated into English? I can help you!
English info about Swedish VAT
If you found this page because you are looking for help about how to handle EU-VAT, or searching for answers to questions like: should you put VAT on an invoice to a customer in another EU country? When should you apply VAT on an invoice? What should you write on an invoice when invoicing a foreign customer? Then you can find a short summary of the VAT and Tax rules for EU trades on this page.
Are you in Sweden for Business?
There are a lot of rules and regulations you need to read into before you start a business in Sweden or any other Nordic country. Do you intend to be a self-employed person in the Nordic countries? Or do you live abroad but want to set up a business in Sweden and need help in English about what to do and how to do it? Then you should have a look at this site Nordisk eTax, which has a lot of information available about the Nordic tax systems in English and other languages. That website primarily deals with Taxes from a private person perspective, but also have information about starting a business in English.