Find out more about how to pay taxes in Denmark and what deductions you may be entitled to.
When you begin working in Denmark, you will come into contact with the Danish tax office, Skattestyrelsen. You will get a Danish personal ID number called a "CPR-nummer" , and a "forskudsopgørelse" (a preliminary income assessment).
You pay tax in Denmark if you work there, regardless of whether you live in Denmark or Sweden. Taxation of your salary is done in the country where you actually perform your work, and not where the employer is situated, whereas other income will be taxed in the country you live in. Danish income tax consists of AM-bidrag, municipal tax, health system contribution (sundhedsbidrag), and state tax.
If you work and pay tax in Denmark, you must also declare tax there. You can do this easily online on the website for the Danish Skattestyrelsen with a MitID. If you live in Sweden while working in Denmark, you also have to file an income tax return in Sweden.
If you live in Sweden and work in Denmark, you have limited tax liability in Denmark. The deductions you can make as someone with a limited tax liability are somewhat different to the deductions permitted under the cross-border rule.
If 75% of your total income (calculated according to special rules) comes from Denmark in one income year, you can decide to be taxed according to the cross-border rule. The way that you are taxed affects which deductions you have the right to declare on your Danish declaration.
Employees living in Sweden and working as researchers or key employees in Denmark have the opportunity to be taxed under a special Danish tax, called "forskerordningen".
Do you live in Sweden, work in Denmark, and sometimes work from home? Or do you normally or often work remotely for your Danish employer? In this article you can read more about tax when you work wholly or partly from home.
If you work in Denmark and live in Sweden, you must file a tax return in both Denmark and Sweden. In collaboration with the Danish Tax Agency, we have produced a guide to help you fill in the Danish tax assessment notice, including information on what you as a cross-border commuter need to include in the tax assessment, and how to handle the tax assessment if you have worked remotely a lot.
If you work in Denmark and live in Sweden, you must file tax returns in both Denmark and Sweden. Here you will find information about what you as a cross-border commuter must include in your Swedish tax return and how to handle the return if you have been working remotely.
You are always welcome to visit our Information Center in Malmö to get help with your questions regarding working, moving or studying in Denmark.
