Standard VAT rate: 25%
E-Invoicing: mandatory in B2G, permitted but still not mandatory in B2C and B2B
Reporting type: SIE standard
Digital service tax: no
All EU member states have a fixed format for their VAT numbers. In Sweden, it includes 12 numbers (of which the last two are most often 01) and the prefix SE (i.e. SE999999999901).
The standard VAT rate in Sweden is 25%, with reduced rates of 12% and 6% on certain goods and services.
25% (Standard) – Applies to all taxable supplies, with certain exceptions
12% (Reduced) – Some foodstuffs, hotels and artists’ own sales of works of art
6% (Reduced) – Newspapers, magazines, books, passenger transport, concerts
0% (Zero) – intra-community and international transport
All business with Swedish VAT number must submit periodic VAT reports. When establishing a company in Sweden, companies must specify how often they want to report VAT.
For all companies that operate in Sweden, VAT reports must be submitted on a monthly, quarterly or annually basis, depending on the annual turnover of the company.
Late registration can trigger a penalty of SEK 6,250 with additional fees up to SEK 18,750 in case of non-submission of the VAT return within 5 months from the filing deadline.
If the taxpayer has omitted information or provides false information on the return, the taxpayer can be penalized with a surcharge equal to 40% of the tax due.
VAT invoices issued in Sweden must contain the following elements:
From 2019, all suppliers billing the Government (B2G) are obligated to submit their invoices electronically according to EN 16931, PEPPOL BIS Billing 3.0.
For B2B and B2C transactions, issuance of invoices electronically is permitted, but still not mandatory.
Most of the businesses in Sweden use the SIE standard for transferring accounting data to authorities.
Very similar to SAF-T, the SIE format is an open standard for transferring accounting data between different software produced by different software suppliers. The format is open to everyone, but only SIE members can get their software approved.