Electronic invoice in Norway

In Norway, the legal framework for electronic invoicing is based on a combination of national laws and EU regulations. Although Norway is not a member of the European Union, the country is required to adopt many EU directives under the EEA Agreement (European Economic Area Agreement), including those governing electronic invoicing. The key legal foundations for electronic invoicing in Norway are:

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1. EU VAT Directive (2006/112/EC) and EEA Agreement

While Norway is not an EU member, the EEA Agreement obliges it to implement many EU regulations, including the EU VAT Directive (2006/112/EC), which governs electronic invoicing. Key provisions include:

• Article 232: Allows EU member states to recognize electronic invoices provided that the authenticity of origin and integrity of content are ensured.
• These requirements can be met through electronic signatures, EDI (Electronic Data Interchange), or other secure technologies to ensure authenticity and data integrity.

Although not part of the EU, Norway has adopted these provisions as an EEA member.

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2. Norwegian VAT Act (Merverdiavgiftsloven)

The Norwegian VAT Act regulates tax requirements for electronic invoicing and aligns with the EU VAT Directive to ensure the validity of electronic invoices:

• § 14-4: Confirms that electronic invoices are as legally valid as paper invoices if authenticity and integrity are ensured.
• Electronic invoices must include the same information as paper invoices, such as:
  • Invoice number,
  • Name and address of the issuer and recipient,
  • Invoice date and date of service delivery,
  • Description of goods or services provided,
  • Amount and VAT.

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3. Regulation on Electronic Invoicing in the Public Sector (Forskrift om elektroniske fakturaer)

Norway has introduced specific regulations for electronic invoicing in the public sector, which align with the EU Directive 2014/55/EU on electronic invoicing for public procurement:

• Since January 2019, all suppliers to the public sector are required to submit invoices electronically using the Peppol Standard.
• Peppol (Pan-European Public Procurement Online) is a standardized system that ensures secure exchange of electronic invoices and other business documents.
• The PEPPOL network requires invoices to be submitted in compatible formats such as UBL or XML, following a standardized process.

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4. Electronic Signatures and Security Requirements

Electronic signatures are a common method in Norway for ensuring the authenticity and integrity of electronic invoices:

• A Qualified Electronic Signature (QES) or an Advanced Electronic Signature (AES) under the EU eIDAS Regulation is recognized as a secure mechanism for ensuring the invoice remains unaltered and the sender’s identity is verified.
• Signature solutions can be provided by qualified third parties or developed in-house to meet these legal requirements.

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5. Archiving of Electronic Invoices

The archiving of electronic invoices is a legal requirement in Norway, in line with general tax regulations:

• Electronic invoices must be archived for at least 10 years, similar to paper invoices.
• Archiving must ensure invoices remain readable, and their data integrity is preserved throughout the retention period.
• Businesses must store invoices in an immutable format, ensuring they are tamper-proof and accessible for tax audits at any time.

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6. Norwegian System for Electronic Invoicing (Altinn)

Norway uses Altinn, a central platform for electronic communication between businesses and the Norwegian administration. Altinn supports electronic submission of tax declarations and invoices for certain government processes, ensuring compliance with legal requirements.

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Summary of Legal Foundations for Electronic Invoicing in Norway:

1. EU VAT Directive (2006/112/EC): Recognizes electronic invoices as valid if authenticity and integrity are ensured.
2. Norwegian VAT Act (Merverdiavgiftsloven): Requires electronic invoices to meet the same tax requirements as paper invoices.
3. Regulation on Electronic Invoicing in the Public Sector (Forskrift om elektroniske fakturaer): Mandates the use of electronic invoices for public sector transactions via the Peppol network.
4. Peppol Standard: Required for electronic invoice exchange in the public sector.
5. Electronic Signatures: Qualified and advanced electronic signatures ensure authenticity and integrity.
6. Archiving Obligation: Electronic invoices must be retained for at least 10 years.
7. Altinn System: A central platform for secure exchange of electronic invoices and communication with the government.

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Conclusion:

In Norway, electronic invoicing is fully recognized in both the private and public sectors, regulated by the Norwegian VAT Act and the Regulation on Electronic Invoicing in the Public Sector. Businesses transacting with the public sector must submit invoices via the Peppol Network, while electronic signatures are widely used to ensure authenticity and integrity. Furthermore, electronic invoices must comply with tax retention rules and be archived for a minimum of 10 years.

Link: https://www.altinn.no