Missed the Norwegian VAT registration — by one invoice

What happened

A foreign company invoiced its first Norwegian project: NOK 380,000. The NOK 50,000 registration threshold was crossed on day one of invoicing — but registration happened months later, when an advisor asked the right question. The VAT for the period in between was owed anyway.

Why it happens

People think of the threshold as annual revenue ("we're small"), but it is a rolling 12-month measure that one ordinary invoice can cross. And because the customer often expected VAT on the invoice, nobody on either side reacts to its absence until the tax administration does.

What it costs

The uncharged VAT usually cannot be re-billed to the client months later — it comes out of the supplier's own margin: 25% of revenue in the affected period, plus interest, plus the registration backlog. On thin contracting margins, that is the whole profit.

Warning signs

First Norwegian invoice above ~NOK 50k. "We'll register when we're established." Quoting prices to Norwegian customers without deciding the VAT treatment. Remote services assumed to be "outside the system" without checking reverse charge.

The decision that would have prevented it

Decide the VAT position before the first invoice — registration filed in parallel with contract signing. The 2-minute checker exists precisely for this moment.