With an extensive public service, income tax rates in Denmark are among the highest in the world. However, the tax system is progressive – the more you earn, the higher taxes you pay.
Do I need to pay taxes in Denmark?
All residents and everyone earning a salary in Denmark are liable for Danish taxation. As a rule you must pay tax on all your earnings in Denmark – and on those you earn abroad. The amount of tax will depend on your annual income and tax liability.
What is a tax card?
If you have a salary income in Denmark you must apply for a tax card from your local tax office. A tax card is an official document that indicates how much tax you have to pay.
How do I get a tax card?
Once you have received your Civil Personal Registration number (CPR number) you must contact SKAT (Danish Tax and Customs Administration) and inform them how much you expect to earn in the calendar year.
In order to obtain your tax card you must complete a special form called “04.063”.
You can download the form here:
- www.skat.dk (Danish/English version)
- www.skat.dk (Danish/German version)
- www.skat.dk (Danish/Polish version)
The completed form must be sent to the local tax office in the region in which you work. The Danish Tax and Customs Administration will then issue a tax card.
Your employer will obtain your tax card digitally from SKAT. Your income tax is then automatically deducted at source from your wages by your employer before you receive your pay.
Contact SKAT at tel.: +45 72 22 18 18 or find the address of your nearest tax office at www.skat.dk
When you leave Denmark
If you leave Denmark your taxability has to be determined. Therefore, you must remember to inform SKAT before you move abroad (incl. to Greenland/ Faroe Islands). When you leave you must complete a special form, 04.029E, and send it to your local tax office. You can download the form here: www.skat.dk.
04.063 (Danish/English version)
The Danish Tax and Customs Administration
Tax in Denmark - an introduction