In June Norid asked the Norwegian Tax Administration for a ruling on whether registrars outside Norway should pay VAT. The Norwegian Tax Administration has now decided that Norid shall not collect VAT on domains sold through registrars outside of Norway.
As informed previously this year, the Norwegian Tax Administration has concluded that Norid’s domain name business is taxable, and that we must collect VAT on sale of Norwegian domain names. The start date was set to 1 July, but the Norwegian Tax Administration postponed this until 1 September in order to consider Norid's question.
The Norwegian Tax Administration's conclusion is that domain registrations are regarded as a remote supplied service, in the form of electronic services, hereunder electronic communication services. Norid shall therefore not collect VAT for .no domains sold through foreign registrars.
Businesses that buy remote supplied services must calculate VAT themselves, but foreign registrars with private individuals as customers should take a look at the Norwegian Tax Administration's VOES Norway. Foreign registrars must contact the Tax Administration themselves if in doubt on how to handle VAT when selling .no domains.