Sweden: Final report on VAT in property leasing and transfers
Results of third investigation on VAT in property leasing and transfers
The Ministry of Finance on March 26, 2026, released a report on the results of the third investigation (launched on May 8, 2024) on value added tax (VAT) in property leasing and transfers, following the rejection of Sweden’s VAT adjustment rules by the Court of Justice for the European Union (CJEU) in C-787/18 (Sögård Fastigheter).
The investigation primarily covered two areas:
- Analyzing the effects of expanded opportunities for voluntary taxation in the leasing of premises
- Assessing how Sweden's rules regarding the adjustment of deductions for property investments can be aligned with EU law and analyzing the effects of voluntary taxation in property transfers
Read a March 2026 report (Swedish) prepared by the KPMG member firm in Sweden