Government to lift thousands out of VAT net; cuts to supplies on reduced rates
The Swedish government has proposed increasing the Value Added Tax registration threshold from SEK 30,000 to SEK 80,000 (approx. €7,900) per annum.
In addition, it is proposing to switch a range of supplies from the 12% reduced VAT rate to 6% rate, including:
- Cycle repairs
- Show repairs
- Clothing repairs
- Household linen
The current VAT rate in Sweden is 25%.
Lastly, there will be a further COVID-19 VAT deferrals payment extension.