The Government has increased its support for the non-profit sector. In that connection, a new scheme was adopted in 2010 whereby non-profit organizations can apply for compensation for value added tax expenses incurred in connection with the purchase of goods and services, based on their annual accounts from the previous year. The new scheme replaces the former scheme of compensation for service VAT.
Amended regulations from 2018
The Ministry of Culture has adopted amendments to the Regulations relating to compensation for valued added tax for non-profit organizations. The Regulations entered into force on 23 October 2018 and replace the previous regulations.
The target group for the scheme consists of non-profit organizations, with the delimitations as set out in Section 5 of the Regulations.