Change VAT & tax deductions for entertainment expenses in Sweden

Change and calculate your VAT and tax deductions in Pleo before exporting your expenses to your accounting system.

Set up mandatory attendees for entertainment categories:

1. Go to Settings
2. Select Accounting
3. Click Categories
4. Click on the 3 dot menu for the category and select use for representation
5. Switch the toggle to On
6. Click Save

To calculate your deductions

1. Go to Export
2. Filter by Account and select a category containing business entertainment expenses. Categories that include entertainment expenses:
   • Meals & Drinks
   • Entertainment
   • Any other category where adding attendees is mandatory
3. Select the expenses one-by-one (make sure attendees are added)
4. Add a Representation type
5. Click Calculate deductions
6. Note down the deductible amount for each expense

The calculator

The calculator follows the rules of the Swedish Tax Agency, works on receipts with and without alcohol and is based on:

• Average VAT rate (VAT / net total)
• Representation type (lunch/dinner or lighter refreshments) 
• Number of attendees

Average VAT x  Representation type per participant x Number of attendees = Deductible VAT