There is a specific VAT calculation requirement in Norway for certain products, such as electric vehicles. As per Norwegian regulations, VAT neeeds to be calculated based on an interval, with a threshold value.

As per Norwegian regulations, the current requirement is as following:

Sale up to NOK 500,000 are VAT-exempt (0%, VAT Code 5).

Sale exceeding NOK 500,000 are VAT-liable (25% VAT code 3)

Current D365FO standard setup does not have the possibility to have a threshold value that post to different VAT codes.

This is a legal requirement to be compliant to Norwegian tax regulation.

, VAT Code 3).