A Norwegian court ruled on Tuesday that strip clubs in the country did not have to pay added taxes — known in the country as VATs — because the services provided by the clubs were a form of art, performed by artists, a Norwegian news agency reported.
This comes after tax authorities in the country took club operators of the Blue Engel to court for refusing to charge customers an additional 25 percent VAT on ticket sales.
"One can suspect there were moral scruples behind the tax authorities' claim since all forms of stage dance are free of value-added tax," the club owner's attorney Stein Fagerhaug was quoted as saying by Norwegian online news service Nettavisen.
Reuters reported that it was not clear if the state would appeal against the ruling, which upheld a lower court decision.
The state was also ordered to cover the club owner's legal costs of around $24,500, Nettavisen said.
