Set up Swedish taxes in your Shopify store

In this article, we will discuss:

• Tax settings
  • Display product prices including VAT
  • Display product prices excluding VAT
• Tax rates in Sweden and the EU
• Selling goods to customers in Sweden
  • My business is not VAT registered
  • My business is VAT registered
• Selling goods to customers in other EU Member States
  • Selling as a micro-business
  • Surpassing the micro-business threshold
  • Selling with a country-specific registration
• Selling digital services
• Selling goods outside the EU
• Invoices

If you want to charge VAT to some customers and not to others, you can configure how VAT is displayed in your product prices in your Shopify store.

If you sell to consumers (B2C), display your product prices with VAT included.

Under Swedish price information rules (prisinformationslagen), prices shown to consumers must include VAT, and any additional delivery charges must be shown before checkout.

To display your product prices with VAT included:

1. In your Shopify admin, go to the Settings → Taxes and duties page.
2. In the Additional configuration section, turn on Include sales tax in product price and shipping rate.
3. Click Save to apply the changes.

Optionally, you can enable dynamic tax inclusion. This Shopify feature automatically includes or excludes VAT based on the customer's region and adjusts the tax rate accordingly.

Tax display is set for each market. To activate dynamic tax inclusion:

1. In your Shopify admin, go to the Markets page and click the market you want to configure.
2. In the Inherited section, click the + icon next to Taxes and duties.
3. Under Tax display, select Dynamic tax display, then click Done.
4. Click Save to apply the changes.

If your store sells exclusively to businesses (B2B), you can display your product prices excluding VAT, since B2B buyers typically expect to see net prices before tax.

To display your product prices excluding VAT:

1. In your Shopify admin, go to Settings → Taxes and duties.
2. In the Additional configuration section, turn off Include sales tax in product price and shipping rate.
3. Click Save to apply the changes.

To disable dynamic tax inclusion in a market and show VAT as a separate line at checkout:

1. In your Shopify admin, go to Markets and click the market you want to configure.
2. In the Inherited section, click the + icon next to Taxes and duties.
3. Under Tax display, select Show as line item, then click Done.
4. Click Save to apply the changes.

As of 2026, the standard VAT rate (moms, or mervärdesskatt) in Sweden is 25% and applies to most goods and services.

Reduced VAT rates of 12% and 6% apply to specific goods and services:

• 12%: for example, restaurant and catering services, and hotel accommodation.
• 6%: for example, books and e-books, newspapers and magazines, passenger transport, and, since April 1, 2026, qualifying food products.

Since April 1, 2026, the VAT rate on qualifying food has been temporarily reduced from 12% to 6%, through December 31, 2027. Takeaway food generally qualifies for the 6% rate, while restaurant and catering services stay at 12%, and alcoholic beverages such as wine, spirits, and strong beer remain at 25%.

The applicable VAT rate depends on the classification of the product or service. If you sell food, check your product categories and any tax overrides in Shopify.

How you handle VAT on domestic sales depends on whether your business is VAT-registered.

If your business is established in Sweden and qualifies for the small business VAT exemption, you don't charge VAT on eligible domestic sales, can't include VAT on your invoices, and can't deduct input VAT on related purchases.

Since January 1, 2025, you can use this exemption if your annual turnover in Sweden doesn't exceed SEK 120,000 in the current calendar year or in either of the previous two calendar years.

If your sales exceed SEK 120,000 during the current year, the exemption ends from the transaction that takes you over the threshold. You must then register for VAT and charge VAT on your sales. You can also register for VAT voluntarily at any time.

If your business is based in Sweden and is VAT-registered, you charge Swedish VAT on all taxable sales of goods to customers in Sweden, whether they're businesses (B2B) or consumers (B2C).

For sales to customers in other countries, the rules depend on where your customer is located.

If you're selling goods to VAT-registered businesses (B2B) in other EU member states, these sales are exempt from Swedish VAT.

As long as your customer has a valid EU VAT number and the goods are transported from Sweden to another member state.

You must keep evidence of the transport, include the required VAT information on your invoice, and report these sales in your VAT return and your EC Sales List (periodisk sammanställning).

The customer accounts for the VAT in their own country.

If you're selling goods to consumers (B2C) in other EU member states, you charge VAT. The rate depends on whether your sales exceed the €10,000 EU threshold.

If your cross-border B2C sales to other EU countries (distance sales of goods plus telecommunications, broadcasting, and electronic services) stay at or below €10,000 (excluding VAT, or SEK 99,680) in both the current and the previous calendar year, you can charge Swedish VAT on those sales.

This rule only applies if your business is established only in Sweden and your goods are shipped from Sweden.

No application or approval is needed—simply set up your tax settings in Shopify admin.

You can also choose to apply the customer's country rate from the first euro. In Sweden, this requires an application to Skatteverket, and the choice binds you for at least two calendar years.

To charge Swedish VAT on eligible cross-border B2C sales:

1. In your Shopify admin, go to Settings → Taxes and duties.
2. In the Tax regions section, click European Union.
3. In the Collect VAT cross-border section, click Collect VAT.
4. In the Collect across the EU window, select Collect using your home country registration.
5. Select your Country of registration and enter your VAT number. Leave this field blank if you've applied for a VAT number but don't have one yet; you can add it later.
6. Click Collect VAT to save your changes.

If your combined cross-border B2C sales exceed €10,000 (excluding VAT) in the current or the previous calendar year, you must charge the VAT rate of the country you're shipping to.

In practice, this means customers in different EU countries will be charged different VAT rates, with standard rates ranging from 17% to 27%.

Registering for VAT in each EU member state can become administratively complex. Instead, you can use the One-Stop Shop (OSS) Union scheme: you still charge VAT at the rate of the customer's country, but you report the VAT on your eligible cross-border B2C sales through a single OSS return in Sweden.

OSS doesn't replace your domestic VAT return or local registrations where they're required.

Shopify calculates VAT based on the tax settings and registrations you've configured.

To set VAT rates for the OSS scheme and charge your customers' shipping-country VAT rate on eligible cross-border B2C sales:

1. In your Shopify admin, go to Settings → Taxes and duties.
2. In the Tax regions section, click European Union.
3. In the Collect VAT cross-border section, click Collect VAT.
4. In the Collect across the EU window, select Collect using a One-Stop Shop (OSS) registration.
5. Select your Country of OSS registration and enter your VAT number. Leave this field blank if you've applied for a VAT number but don't have one yet; you can add it later.
6. Click Collect VAT to save your changes.

You need a local VAT registration in another EU country if you make taxable sales there that OSS doesn't cover, for example, if you store stock in that country and ship to customers from there.

In that case, you can no longer use the €10,000 threshold for distance sales shipped from that country.

If that's your situation, add the local VAT registration number to your tax settings, so Shopify applies the correct VAT rates based on your registrations.

To add a local VAT registration number:

1. In your Shopify admin, go to Settings → Taxes and duties.
2. In the Tax regions section, click European Union.
3. In the Collect VAT in an EU country section, click Collect in another location if you already have a registration.
4. Select the Country and enter your VAT number. Leave this field blank if you've applied for a VAT number but don't have one yet. You can update it later.
5. Click Collect VAT to save your changes.

The country must be part of one of your shipping zones before you can add it as a tax region. If you can't select it, create a shipping zone first:

1. In your Shopify admin, go to Settings → Shipping and delivery.
2. In the Shipping profiles section, click the profile you want to add the zone to (for example, General profile).
3. In the Shipping zones section, click + Zone.
4. Name the zone, add the country (or countries) you’re VAT-registered in using the search bar, and click Done.
5. Add shipping rates to make the zone available.
6. Click Save to apply the changes.

Special VAT rules apply when selling digital services from Sweden to customers in other EU countries.

Electronically supplied services include downloadable music, e-books, digital photographs, and automated online courses. Not every service delivered over the internet qualifies—for example, a live online class taught by a person may be treated differently.

For B2C sales, digital services count toward the same €10,000 EU threshold as your distance sales of goods. Within the threshold, you can keep charging Swedish VAT.

Once you exceed it, you charge the VAT rate of the customer’s country and can report it through the same OSS Union scheme.

If you sell digital services to businesses with a valid EU VAT number, the customer accounts for the VAT under the reverse charge.

If you sell goods from Sweden to customers outside the EU, whether B2B or B2C, these exports are exempt from Swedish VAT.

As long as the goods actually leave the EU and you keep the required export documentation, such as customs and shipping records.

This means you don't charge Swedish VAT on these invoices. Your customer's country may charge its own import VAT and duties.

Note that sales to Åland, which is part of Finland but outside the EU VAT area, are also treated as exports.

Once you set your tax rates correctly in your store, Sufio will automatically create valid invoices with an exact breakdown of the charged VAT.

Invoices can be created in multiple languages and include all the necessary details to make them compliant with invoicing legislation in the EU.

Issuing invoices with the correct tax breakdown is crucial for your bookkeeping and tax purposes.

If you are selling to businesses (B2B), Sufio invoices include all the required information, as well as the VAT registration number (Momsnr. or Momsnummer) of your online store and your business customers.