How to Calculate Duties and Taxes on Imports to Sweden

How to Calculate Duties and Taxes on Imports to Sweden is a critical step for international trade compliance. Import duties and taxes are mandatory charges based on the product's classification (HS Code), its customs value, and its country of origin. In Sweden, the official customs authority, Tullverket (Swedish Customs), enforces the EU-wide duty de minimis threshold of EUR 150 for customs duties. However, the tax de minimis threshold is EUR 0, meaning Value-Added Tax (VAT) is always due, regardless of the shipment's value. Understanding these rules and the customs valuation basis is essential to accurately calculate import tax in Sweden and avoid unexpected costs.

Import duties in Sweden are governed by the European Union’s Common Customs Tariff (CCT) and the Union Customs Code (UCC). The duty rate is determined by the product's classification under the 10-digit TARIC code, which is an extension of the 8-digit Combined Nomenclature (CN) used across the EU. The duty rate can range from zero to over 20% and is applied to the customs value of the goods. The actual rate applied depends heavily on the product's specific TARIC code and its country of origin, as preferential rates (including zero duty) may apply under the EU’s extensive network of Free Trade Agreements (FTAs).

To accurately calculate duties and taxes on imports to Sweden, you must first determine the correct Customs Valuation Basis. Sweden, following EU law, uses the CIF (Cost, Insurance, and Freight) method for calculating the dutiable value. This means the customs duty is calculated on the total value of the goods, plus the cost of transport and insurance up to the point of entry into the EU customs territory.

Once the dutiable value is established, the duty rate is applied based on the 10-digit import classification code (TARIC). Shipments with a customs value of EUR 150 or less are exempt from customs duties, which is the duty de minimis threshold.

Next, you must calculate the import tax in Sweden, which is the Value-Added Tax (VAT). The standard VAT rate is 25%, though reduced rates of 12% (for foodstuffs and certain services) and 6% (for books and periodicals) apply to specific goods. Unlike the duty, the tax de minimis threshold is EUR 0, meaning VAT is always due on commercial imports, regardless of value. The VAT is calculated on the customs value (CIF) plus the amount of customs duty paid.

For low-value B2C shipments (up to EUR 150), the Import One Stop Shop (IOSS) scheme is a special rule that simplifies the process. If the seller is registered for IOSS, they collect the Swedish VAT at the point of sale, and the goods are fast-tracked through Tullverket (Swedish Customs) without the consumer paying VAT upon import. If the seller is not IOSS-registered, the VAT must be paid to the carrier or Tullverket upon import, often incurring an additional handling fee. Businesses registered for Swedish VAT report the import VAT to Skatteverket (Swedish Tax Agency) in their VAT return. This comprehensive approach is necessary to estimate the landed cost and is the core of how import duty is calculated in Sweden.

The most significant special rule for calculating import tax in Sweden is the Import One Stop Shop (IOSS) scheme. This EU-wide regime applies to B2C distance sales of goods imported from outside the EU with a value not exceeding EUR 150. When a seller uses IOSS, they charge the Swedish VAT (25% standard) at the point of sale, and the goods are then exempt from VAT at import, streamlining the process for the consumer. For high-value imports, a customs value declaration is required when the value exceeds EUR 20,000. Furthermore, Sweden’s customs system operates under the EU Union Customs Code (UCC) framework, which is transitioning to an all-electronic system for declarations.