As 2022 is coming to an end, it is time to consider those last minute efforts to end on a good (and compliant) note. Below we have listed a number of elements to serve as inspiration and/or confirmation on typical considerations for a happy year-end.

Employers

• Adjust new rates for tax free allowances for 2023, e.g. Per Diem allowances and Mileage allowance
• Review if rates on tax free payouts have been followed throughout 2022
• Make sure that unused holiday is agreed to be transferred or paid to the employee (maximum of five days)
• Adjust for the new requirements for the salary for employees on the expat scheme (if necessary)
• Apply or re-apply for A1 certificates for cross-border employees
• Review reports for payroll and align for potential changes no later than February 2023
• Prepare reports for eKapital on stock incentive plans
• If it has been a year of growth be mindful of deadlines changing on withholding tax and VAT

Indiviudals

• Payment of outstanding tax for 2022 before 31st December to avoid day-to-day interest applied from 1st January 2023
• Update your 2023 perliminary tax assessment (“Forskudsopgørelse”) so you are set for correct tax withholding in 2023
• Consider (extra) contributions to deductible pensions
• Prepare for changes to year-end statement for 2022 when it becomes possible in February (so it will be included on the first edition)
• Consider if you should opt for the extended information scheme with deadline for changes on 1st July rather than 1st May
• Prepare overview of shares/stocks which have been traded during the year, which are not automatically reported to the Danish authorities
• Secure documenation for foreign taxed income in order to seek relief of taxation in Denmark

In General

• Consider if the changes to government will have an impact
• We expect the double tax treaty with France to enter into force soon
• Before the election a bill was proposed in parliament to tax activities related to various activities in the special economic zone in Denmark (offshore), which we expect will be reproposed as it is a part of the very large infrastructure projects regarding energy islands in Denmark – we will be monitoring the development

Should any of the above spark interest or concern, you are more than welcome to reach out to us via the form below.

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