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Sweden Implements Tougher VAT Fraud Rules in July 2026

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Summary
Sweden will introduce stricter VAT anti-fraud measures from July 1, 2026, giving the Tax Agency broader powers over VAT registration checks, cancellations, invalidations, and input VAT credits.
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The government's proposal for stricter measures against value-added tax (VAT) fraud was approved by the Riksdag. Reducing fraud and stopping tax evasion are the goals.

According to the recommendations, the Swedish Tax Agency will:

  • Have more opportunities to conduct checks related to VAT registration applications;
  • Be able to reject registration applications or cancel someone's VAT registration;
  • Mark a VAT registration number as invalid in the EU VAT information exchange system; and be able to choose not to credit excess input VAT in situations where there is a risk of tax evasion.

On July 1, 2026, the new regulations will take effect.

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