Specialized advice on value-added tax

Value-Added Tax in property development and management

The application of value-added tax (VAT) rules in the property sector is often complicated, with many special regulations and ambiguous case law. For a property developer, it is important to review VAT management as early as possible in development projects and continuously throughout. This is to avoid the risk of missing deductible input VAT, which often amounts to such significant sums that it could constitute the entire profit margin.

Value-Added Tax in international trade

It is not always easy to know how value-added tax should be handled and reported when delivering goods or providing services outside Sweden's borders. We assist you in clarifying how and by whom VAT should be reported when goods and services are supplied abroad, whether within or outside the EU. We can also provide advice on issues related to the One Stop Shop (OSS) and the Margin Scheme.

Group structures and intra-group transaction

Is the parent company covering costs for the rest of the group? Can deductions be made for input VAT? Should all personnel be gathered in one company? Can input VAT be deducted on costs related to the sale or acquisition of subsidiaries? What should be included in the management fee? Many questions can arise regarding the handling of value-added tax when operating within corporate groups. We assist with everything from structuring groups to managing VAT in intra-group transactions and company acquisitions.

Value-Added Tax in sports activities

What exactly constitutes a sport according to Swedish VAT regulations, and when should the reduced tax rate of 6 percent be applied? This is a difficult question to answer and often requires a case-by-case assessment. We have extensive experience helping companies determine whether a 25 percent or 6 percent VAT rate should be applied to their services. If an excessively high tax rate has been applied, there may often be money to reclaim by reconsidering previous VAT returns. These reconsiderations also raise questions about the requirement for credit invoices, which necessitates strong arguments to secure the right to a refund. Please feel free to contact us if you have any questions regarding your specific business and the services you provide.

Tax Due Diligence

In a transaction, it is important to identify tax risks and manage them in the SPA (Share Purchase Agreement), but also to capture the opportunities that often come with acquiring companies and/or properties. By focusing on both risks and opportunities, we develop an analysis that can be used not only in typical transaction contexts but also after an acquisition, for example, to reclaim paid value-added tax. We help ensure that no tax opportunities are overlooked between acquisition and management.

Legal proceedings

Even when doing everything right from the start, the Swedish Tax Agency (Skatteverket) may have a different opinion. In these cases, we can assist with everything from drafting responses to the authority’s queries, to representing your case in court if it becomes necessary to protect your rights. When it comes to value-added tax, the issues often become complex. Therefore, it may be essential to have the specialized knowledge required to present the correct information and build your case on solid evidence.

Other VAT queries

Our team has extensive collective experience in VAT issues across all areas. Whatever your questions regarding value-added tax may be, you are warmly welcome to contact us for an unconditional meeting. We also assist with VAT registrations, ongoing VAT returns, representation issues, calculation of margin scheme, and allocation analyses of deductible input VAT using methods such as a turnover-based approach.

Value-Added Tax (VAT)