Europe
Denmark: tax at a glance
Personal taxes here are among the highest in the world, with a marginal rate up to ~55.9%, funded through income tax rather than payroll levies. That sits alongside a low 22% corporate rate and 25% VAT.
Worldwide (residence-based)
Last verified
Ways to relocate to Denmark
The residency and citizenship routes that lead here, weighed against the tax picture above.
The taxes
- Personal income (top)
- ~55.9%Progressive, with an effective top rate of ~55.9%, including an 8% labour-market contribution. From 2026, a new top-top tax will add ~5% on income above ~DKK 2.59m.
- Corporate income
- 22%
- Capital gains
- 27% on share income up to ~DKK 67,500, rising to 42% above that.
- VAT / Moms (VAT)
- 25%
- Dividends (WHT)
- 27%
- Interest (WHT)
- 22% on controlled debt, generally 0% otherwise.
- Royalties (WHT)
- 22%
- Social security (employee)
- 8% labour-market contribution (AM-bidrag) + ATP
- Social security (employer)
- Minimal (ATP + minor schemes; welfare funded via income tax)
- Wealth tax
- None
- Inheritance / estate
- 15% estate duty (spouse exempt); additional 25% for distant heirs (~36.25% combined)
- Property tax
- Property-value tax plus land tax (grundskyld), reformed 2024
- Other
- Church tax ~0.7% for members
How the system works
- Tax system
- Worldwide (residence-based)
- Foreign income
- Taxed (worldwide)
- Taxes by citizenship
- No
- Exit tax
- Yes, leaving has a cost
- CFC rules
- Yes
- CRS
- Participating
A special regime for new arrivals
Researcher scheme (forskerordningen): a 32.84% effective flat rate for 84 months.
The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.