Limited tax liability
Limited tax liability - pay
You are subject to limited tax liability in Denmark when you work in Denmark for a Danish employer, while being resident in another country. Your earned income from the Danish employer is taxed in Denmark when the work has been done here. Work performed at home is taxed in the country of residence (Special rules apply for Sweden, select Sweden below). You remain fully tax liable in your country of residence.
The general rule is that earned income is taxed in the country of work.
However, special rules apply to:
- crew on international flights
- people involved in the operation of the Øresund Link (Øresundsforbindelsen), and people working on trains or ferries between Denmark and Sweden.
If you belong to any of the above groups, you must contact Danish Tax Agency to establish what to do. You find the contact informations here:
Contact - Danish Tax Agency
Limited tax liability - other areas
Limited tax liability also applies to:
- proceeds from the sale of real property subject to the Danish Act on the taxation of profit from the sale of real property (Ejendomsavancebeskatningsloven)
- income from the letting of real property (read more about rental property)
- dividend and compensation on which no dividend tax has been withheld.
Income tax return
As limited tax liable to Denmark of earned income, you automatically get a tax assessment. See more under the section "Tax Assessment"
If you are limited tax liable to Denmark for anything other than wages, please fill in a tax return. You can do this at Skat.dk/tastselv or by submitting a tax return for limited tax liability - form 04.009.
In Denmark, employers are obliged to inform the Danish tax authorities of the amount of tax (A tax) and labour market contributions etc. paid at source, pay disbursed and the value of certain staff benefits.
This information can be found in E-tax for individuals "Skatteoplysninger" (Tax information).