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fact sheet

Taxation in Denmark - introduction to the Danish tax system

Denmark has a favourable tax climate: a corporate tax rate of 22%, an extensive network of tax treaties and attractive tax rules for expatriates. Let us provide you with an overview.

Taxation in Denmark - Invest in Denmark

Denmark has a favourable tax climate with a corporate tax rate of 22%, an extensive network of tax treaties and attractive tax rules for expatriates. Other tax incentives include full deduction of patents and know-how in the year of acquisition and the possibility to deduct R&D expenses. Should R&D costs result in tax losses, companies are entitled to a cash reimbursement of 22% of losses related to those costs – up to a maximum tax value of DKK 25 million.

If these beneficial conditions have raised your interest, download our fact sheet to read a brief introduction to the Danish tax regime in its entirety.

Overview Why Denmark?


  • To avoid double taxation issues, Denmark has entered a comprehensive network of double taxation treaties with more than 80 countries.

  • A Danish company may distribute dividends to a foreign recipient without withholding tax.

  • Capital gains on bonds and debts are generally taxed at the 22% corporate tax rate.

  • Loss-making companies may receive a cash tax credit for losses related to R&D costs.

Contact How can we help you?

If you would like to learn more about doing business in Denmark or Danish core industry competencies, please contact one of our experts. We have specialised staff across the globe with industry insights and well-connected networks, ready to advise you on every aspect of investing in Denmark.
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