Business til business
There can be many reasons why goods are rejected at the border, but here are a couple of possible scenarios.
When you, as a Danish company, sell to Norwegian customers, you can only deliver your goods to the border.
This means that customers in Norway and Switzerland will be contacted by a carrier who will charge Swiss or Norwegian VAT and customs duty before they can receive the purchased goods. At the same time, the carrier will, of course, charge a fee to prepare the customs clearance documents and possibly commission. This means that your customer does not know the final price of the purchased product until late in the process. Some will therefore refuse to accept the goods, because VAT, customs duty and customs clearance costs far exceed their expectations.
Another scenario is when the documents sent with the goods are incorrect or that there are no documents at all.
You must of course have studied the requirements regarding contracts, minimum pay, working hours, compulsory pension etc. in the country in question. After that, an employment contract has to be signed, and then salaries have to be calculated and reported.
We can help you in the process by giving you tips and guidance, and we can also do the calculation and reporting of your salaries in Norway.
Business til consumer
Many Danish companies want to register in Norway with a Norwegian domain in order to speed up marketing and sales in Norway.
It is currently not possible to purchase and own Norwegian domains unless you are registered in Norway or have a Norwegian corporate ID. This is mandatory even if you do not want to be registered for VAT in the country yet. We will be happy to help you register in Norway if you need to buy a domain.
Danish companies selling to non-EU countries (such as Norway and Switzerland) will find that their costs per shipment are high. This is because each sale is often associated with costs not only for transportation but also for customs clearance (export - import). Depending on the specific delivery terms, this might affect the cost level per sale.
In case a Danish company chooses to register in Norway or Switzerland, it will be possible to combine shipments (bulk) and thus keep costs down while improving the service level of local customers because you will be able to deliver right to their doorstep (DDP).
There are big differences in how long it takes to register abroad with a VAT number, and there are major differences in the documentation required.
In Scandinavia/Northern Europe it takes about +/-4 weeks, but elsewhere or if it is a very busy period, it takes a bit longer. You might also be required to present some original documents and/or documents approved and signed by a Danish notary.
If your company is registered for VAT, then it is possible to get the foreign VAT on goods and services back. You can apply for VAT refund in all EU countries. This can also be done in some countries outside the EU. For example, Norway and Switzerland. To apply for VAT refund, you must use original and/or electronic VAT receipts.
Deadline for application for EU VAT refund is not later than 30 September the following year. Deadline for application for non-EU VAT refund is not later than 30 June the following year.
It can be both time consuming and complicated to complete a VAT refund application. And you must be familiar with the VAT regulations and rates in the countries you apply in. So let us help you. Use the contact form to contact us for more information.
When a company is registered with a VAT number in Norway or Switzerland respectively, the value at which the goods are cleared through customs is not irrelevant.
In case a parent company sends its goods for customs clearance to own VAT number in Norway or Switzerland, incorrect goods value may have major financial consequences. Please contact us in case you need to review your valuation process or if you have been contacted by the authorities for inspection, so that we can help.
Danish construction companies that send employees to Norwegian construction sites are often supplied with an identity card that gives access to the construction site. This card is called HSE card or construction and building card. (HSE = Health, Environment and Safety). The card is linked to a company/person and can therefore be used on different building and construction sites and projects in Norway.
The HSE card identifies the specific employee and at the same time gives them access to the building and construction site. This also means that without an HSE card, the employee will not be able to access the site. Obviously, there can be problems if an agreed job cannot be done because the employee does not have an HSE card.
All Danish companies must be registered for VAT in Norway in order to be able to apply for HSE cards for employees working in Norway.
It is important that you as a company are prepared for a number of challenges in connection with start-up and contract work in Norway.
In order to perform contract and subcontract work in Norway you must register in Norway. There are several ways to register in Norway, but many choose the NUF registration (Norwegian-registered foreign company). Initially, you must have a corporate ID. If your turnover exceeds NOK 50,000.00, you will also have to register for VAT in Norway.
There are lots of exciting construction projects in Norway, and our experience is that the Norwegian market deliberately seeks skilled Danish craftsmen.
Here at IntraVAT we can help you get started. With our many years of experience, we make sure you get registered in Norway. We offer you guidance and help with your reporting and communication with the Norwegian authorities etc. So contact us and let us help you get started in Norway.
When you need to bring to Norway your own tool for a project, you must have an ATA-Carnet issued. An ATA Carnet is a customs document that replaces import and export papers. At the same time it is also security for customs fees and charges in the countries participating in the scheme. We can say that this is your tool’s “passport”.
ATA-Carnet allows temporary import of the tool to another country for up to 1 year. And temporary import means that the tool may remain and be used in the given country for 1 year and must then be returned to Denmark before the validity of the ATA Carnet expires.
However, please note that you cannot use an ATA Carnet for building materials. Only for your tools.
When you want to work on a Norwegian project that has a contract value of NOK 20,000 or more, you have to report to Norwegian authorities. The report must be submitted shortly after the contract has been signed, and not later than 14 days after the project has commenced.
This is what the reporting chain looks like:
The main employer (usually the Norwegian company) must report all assignments and companies it enters into agreements with. And of course, your own employees shall be included as well.
The contractor (the company that has undertaken the assignment from the main employer in Norway) is required to report its own employees working on the assignment and subcontractors, if any.
Companies 2 levels below the Employer are required to report to Norwegian authorities. This means that the Contractor’s subcontractors also have an obligation to report.
This reporting can be done in 2 ways:
1. By filling in a form (RF1198/RF1199), where you provide information about the assignment, contractor (your company), your employees and about the project itself. A paper copy of the form, together with a copy of the employee's passport etc., has to be sent to the Norwegian Tax Agency.
2. If you have access to the Norwegian authorities' contract registration system, you can report data directly in it. However, you are still required to attach a copy of employee passports etc.
Please contact us, and we can also assist you with forms, filling these forms as well as reporting on your behalf.
A Norwegian D-number corresponds to the Danish CPR number. However, a D-number is given to foreign nationals (not Norwegian).
If, as a Danish employee, you are working on a construction site in Norway, you must apply for a D-number in order to get an HSE card and thus enter a Norwegian construction site.
IntraVAT helps many companies' employees apply for a Norwegian D-number. Please contact us if you need a D-number.
As a Danish employee who works in Norway, you are not generally subject to taxation in Norway.
You can work in Norway for up to 183 days a year without having to pay Norwegian tax on your personal income (salary).
However, as in Denmark, you must have a Norwegian tax card, which states that you are not subject to taxation in Norway.
If you want to keep 100% control of your personal taxation and avoid ugly surprises, please contact us for a detailed review.
When Danish employees perform work abroad, they must apply for an A1 certificate.
In case employees do not have an A1 certificate; the employer must pay social security in the country where the employee works and thus will pay social security both in Denmark and abroad.
The A1 application is personal and is made via borger.dk.
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