Updated agreement on EU-Norway VAT administration cooperation
Norway has finalised the internal legal process for implementing a renegotiated agreement with the European Union on administrative cooperation in the field of VAT, aimed at combating cross-border VAT fraud.
Storting approval
On 4 June 2025, the Storting (Norwegian Parliament) granted consent for the revised agreement, and on 20 June 20, the King in Council formalised the decision. Norway will now notify the EU, triggering the agreement’s entry into force on the first day of the second month following notification. The EU has already completed its internal procedures.
The updated agreement, originally signed on 2 October 2024, enhances cooperation by enabling Norwegian tax authorities to participate in new EU-developed tools and forms of collaboration in the VAT area. These updates follow advancements made by the EU since the original agreement’s implementation on 1 September 2018.
This renegotiation was initiated by Norway to ensure full access to modern tools for tracking and combating VAT fraud in international trade. The European Commission facilitated the renegotiations and supports the strengthened framework. The agreement as a key example of Norway’s beneficial cooperation with the EU, especially in the area of tax enforcement and international controls.
Norwegian VAT and Its Relationship to EU VAT Rules:
Although Norway is not an EU member, it is closely aligned with the EU through the European Economic Area (EEA). While EU VAT directives do not apply directly, Norwegian VAT law is harmonized with EU rules to facilitate cross-border trade and administrative cooperation. This agreement strengthens alignment by allowing shared enforcement tools, data exchange, and joint investigations, promoting consistent VAT compliance across borders.
See more in our Norway VAT guide.
