Taxation in Denmark

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Denmark said on Tuesday it is targeting U.S. and British companies and individuals as it expands a global campaign to recoup billions of crowns it alleges were paid out in fraudulent tax refunds between 2012 and 2015.

An administrative overhaul of Denmark’s tax authority was instituted on July 1, with a series of new specialized boards becoming operational. Under the changes, the tax authority has been split into seven separate entities, each of which has a core area of competency.

Tax paid in Denmark constituted 45 percent of the country’s GDP in 2017, according to a Danish Ministry of Taxation analysis. The ministry analysis compares Denmark’s overall tax demands with other countries and has concluded that Denmark no longer has the highest tax in the EU, newspaper Børsen reports.

Denmark’s tax authorities are demanding nearly 1,200 former Uber drivers to pay an additional $1.9 million in taxes for 2014 and 2015, after finding tax avoidance among close to all the drivers controlled.

The introduction of a new eco-friendly aviation tax in Sweden could benefit air traffic in Denmark. Denmark’s Scandinavian neighbour introduced a new aviation tax on Sunday that will add an extra charge to all passenger flights from the country, in a bid to lessen air travel’s impact on the climate.

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