Sweden to fight EU ruling on VAT for non-profit groups
Published: 31 Mar 11 11:00 CET | Print version
Online: http://www.thelocal.se/32932/20110331/
The Swedish government has announced that it is to "fight all the way" against an EU Commission ruling to reject an application to restrict the levy of VAT (value Added Tax) payable by non-profit groups.
- LinkedIn profile lands Swede with hefty tax bill (17 May 13)
- Borg drops resistance to EU fiscal stimulus (15 May 13)
- Sweden sells toxic Baltic salmon to EU: report (8 May 13)
Sweden's finance minister Anders Borg, expressed surprise at the news and vowed to file the Commission's ruling.
"We will contest this. We intend to pursue this all the way," Borg said at a press briefing on Thursday.
Non-profit groups can therefore rest easy for now as until the issue is settled - which according to Anders Borg could take a couple of years - the current rules allowing a full VAT exemption for non-profit organizations will apply.
The exemption is in contravention of European Union law and the EU Commission has persistently tried to force its removal.
The EU Commission ruling would impose a considerable burden on non-profit organizations, which range from charities to theatre and interest groups, and study circles.
However the EU considers the current tax regime to be overly generous and in the longer term the financial impact will be considerable. The administrative burden of paying VAT is also likely to increase, if the Swedish government loses in its bid.
The government's application for the one million kronor turnover limit was made in January and would mean that 90 percent of Sweden's non-profit associations would be tax exempt.
The purpose of the application was to protect the financial stability of the sector and to furthermore avoid a lawsuit in the European Court of Justice.
What do you think? Leave your comment below.
Nord Stream plans new gas pipelines
Gas pipeline firm Nord Stream will hold an information meeting on the Baltic island of Gotland on Monday to introduce a proposal to extend its controversial gas pipeline project. READ () »
'Sweden next in line for housing market crash'
Sweden tops a list of countries that risk suffering a housing market crash, Germany's Commerzbank has warned, citing the slackening off of Swedish property prices as a harbinger of a potential downswing. READ () »
Solna voted best place to live in Sweden
Solna, a suburb just north of Stockholm, is the best place to live in Sweden, according to a new ranking published on Friday by Swedish news magazine Fokus. READ () »
Ikea founder rated fifth richest in the world
Ingrad Kamprad, the founder of Swedish furniture giant Ikea, finished fifth on the Bloomberg Billionaires Index published on Friday, with an estimated fortune of $55.6 billion. READ () »
LinkedIn profile lands Swede with hefty tax bill
A Swedish man is facing a five-million kronor ($750,000) add-on to his tax bill after the authorities took a proper look at his account on the professional networking site LinkedIn. READ () »
India in no rush to open first Ikea store
The first Ikea store to open in India may not be ready for years, with the India head of the Swedish furniture giant prepared to wait until the the perfect location is found for the first of the 25 planned stores. READ () »
H&M CEO to Bangladesh: raise minimum wages
H&M CEO Karl-Johan Persson has urged Bangladesh to raise its minimum wage, adding the Swedish fashion giant is "willing to pay more" in the wake of a garment industry disaster which killed more than 1,100 people. READ () »
Pensioners to recruit ageing Swedish rockers
The Swedish Pensioners Association wants to cast off its "stuffy" image at the Sweden Rock festival, in a recruitment bid to set up a rock music subgroup of new members. READ () »
Sweden plummets in income equality ranking
The living conditions of most Swedes have improved in recent decades, but income inequality is growing rapidly, according to a new OECD report, which saw Sweden drop 14 spots from its first place ranking in 1995. READ () »
Swedish shop hits back: our Converse are real
Swedish retailer Coop has refuted complaints by US sneaker brand Converse that Coop stores are selling unauthorized pirated copies of the iconic footwear. READ () »
- 14/05 Converse in bid to ban 'fake' shoes in Sweden »
- 13/05 Nordea tracked clients in secret 'black book' »
- 10/05 ABB executive to quit after five-year tenure »
- 10/05 Borg defends critique of strong Swedish krona »
- 08/05 EU green lights Volvo and Dongfeng merger »
- 08/05 Sweden sells toxic Baltic salmon to EU: report »
- 07/05 Swedish app lets 'everyone' write music »
- 07/05 'Invisible thread' can help fight fashion pirates »
- 06/05 The British barber a cut above the rest »
- 06/05 Government locks horns with opposition over jobs »
| 20/05 | Group Risk ManagerHumancapital | stockholm, STHM |
| 20/05 | Salgsassistent / Sales AssistantHoss Intropia | Copenhagen |
| 20/05 | Territory Manager - GastroIntestinal Solutions - Sweden/FinlandCovidien | Stockholm, STHM |
| 19/05 | Account Manager Sweden | Sollentuna |
| 19/05 | Lead Software Engineer, Environment | Linköping |
| 19/05 | Management Consultant to Global Business Services Advisory Services with Shared Services and Outsourcing Advisory experience | Stockholm |
| 19/05 | Manager for Application Management | Stockholm |
| 19/05 | Manger Intern Sales & Customer ServiceThule Group | SKÅ |
| 19/05 | Nordic Sales Executive Platform Computing | Kista |
| 19/05 | Quality Engineer | Stockholm |
- 18/05 Economists warn against German euro exit »
- 17/05 Germany cool to France's EU economy plan »
- 17/05 Au pairs rules relax for non-German families »
- 16/05 Germany refuses to slam French economic policy »
- 16/05 Capri-Sun drink wins false advertising award »
- 15/05 Anaemic economy feels winter chill »
- 15/05 ThyssenKrupp bins 3,000 admin jobs »
- 15/05 Pay deal for metal workers averts strike »
- 14/05 First ever strike hits Amazon's German unit »
- 14/05 Volkswagen plans giant car plant in China »
- Salgsassistent / Sales Assistant
- Group Risk Manager
- Territory Manager - GastroIntestinal Solutions - Sweden/Finland
- Manger Intern Sales & Customer Service
- Account Manager Sweden
- Lead Software Engineer, Environment
- Management Consultant to Global Business Services Advisory Services with Shared Services and Outsourcing Advisory experience
- Manager for Application Management
- Nordic Sales Executive Platform Computing
- Quality Engineer
- 14:23 Salary expectations for managing a busy bar?
- 13:51 Found out I'm pregnant!
- 13:14 Are Swedish girls "off limits" for...
- 12:42 Something you dont know about SWEDEN
- 10:25 Need to help to choose the best place.
- 00:57 Acting workshops or courses in English
- 23:06 E-cigarettes / Snus Recommendations.
- 21:52 Where to buy rubbing alcohol?
- 21:10 Marriage in Sweden-Need URGENT help
- 19:19 Summerburst 2013 festival
Create an account with Banc De Binary, the world’s most reputable binary options firm, and start cashing in today! You can start by practicing with our free $50,000 demo account.
www.bbinary.com
Expat counsellor & talk therapist offers counselling for stress, relationship issues, sexuality, culture adjustment & life coaching. Private & confidential. Stockholm or Skype. Contact me today! 08-559 22 636 or
CLICK HERE
Casa Birgitta in Algarve, Portugal. Reduced price in best location. Private estate on white sand beach. All amenities included. Book here today! edward_george1@hotmail.com
Find products and services that are specifically focused on English speakers living in Sweden!
FULL DETAILS
Individuals & Couples - Stockholm Beth Rogerson PhD - Clinical, Marriage & Family Therapist
Click or call 08-5580 1266 now
Your comments about this article:
The comments below have not been moderated in advance and are not produced by The Local unless clearly stated. Readers are responsible for the content of their own comments. Comments that breach our terms and conditions will be removed.
Also in Sweden there is such a thing as an economic förengning.
I kid you not.
You can set one up one for your company and not pay any tax, if you do it right. All the pizza companies in the town I live in are economic förengning, as are most in Sverige.
The sooner this tax loophole is closed the better.
By doing this, the European Union is hitting the money laundering outlets for the KLA, hitting drug dealers, hitting traffickers, stopping cult financial origanisations such as scientologists, taking money out of the paedophiles in the catholic church and hitting money laundering operations for various terrorist groups.
Well done the European Union. More of this PLEASE.
What is selectively left out fo the article is that this is an anti-money laundering idea from the European Union, unless of course you agree with business's not paying tax, Scientologists and churches being tax free, traffickers being able to launder money, terrorists and drug dealers laundering money,
Yeah okay. Lets all of us give all our money to the government. That would end money to charity, stop money laundering, and end money to the church.
Would you be happy with this? Oh, and we all wear a rubber suit so we don't hurt ourselves,too.
If you wish to wear a rubber suit, go ahead. I really don't want to know.
Regarding the issue at hand.
Tax exemption in Sweden is very different from other countries and is basically a scam vehicle to avoid paying tax.
So I guess the deduction for mortgage interest is just a scam, too?
In regards to your earlier post about business's paying/not paying tax: No I do not think business's should pay tax. Because everyone in the business whether it be owners, stock holders, or regular employees pay income tax generated by the business. So the cost of the business tax is passed down to the consumer and ends up being nothing more than a hidden sales tax.
You are another neo-liberal or feudalist as it should properly be known.
If you want a system such as you propose, I would suggest you emigrate to Somalia, Afganistan or Saudi Arabia. You will feel quite at home, with their zero business regulation, lax gun laws and no womens or minority rights.
This is the 21st century, not the 11th century. Get that into your head or move to a country that suits your mindset, such as Somalia, Afganistan or Saudi Arabia.
So here you go to name calling when you can present a intelligent arguement. I never said business's shouldn't be regulated. But the more you tax business the higher they charge for their products/services. Who is that good for, the government because they get more tax money.
Tell me about womans rights rights in Sweden. They get less than equal medical care than a man. And they are still kept down in equality to a man in the workplace. Don't take my word, ask them.
Laws are for the unlawful.
You should take your own advice,("This is the 21st century, not the 11th century.")
What country are you from that women are more equal than in sweden?
Let me clarify this so there is no mistaking what I am saying.
On paper women in Sweden or most any modern country for that matter, do have equal rights and opportunities. But in practice it isn't happening. Sure it's light years ahead of the middle east. Like I said, don't take my word for it, ask a woman.
I am a USA citizen permanently living in Sweden. And I would say that the situation is no better or no worse in USA when it comes to equality for women.
That is just nonsense.
At present women are having there rights assaulted by the Republican party like never before.
On top of that women wokring for Wal Mart actually have to take a class action due to blatant discrimination.
The USA is literally heading towards the middle east, in how it treats women.
You call what I say nonsense, but then the rest of what you wright supports my opinion.
Get a grip.