DENMARK

Evolution of fiscal legislation

Historic Data

The tax was introduced on 3 July 1967

The tax is known as Mervaerdiafgift - Moms

Tax Authoirty (agent) / Links

Told-og Skatteregion Sonderborg

8. momsdirektiv

Hilmar Finsens Gade 18

DK - 6400 Sonderborg

Tel.: 74 12 73 00

Fax: 74 42 28 09

Email: soenderborg@toldskat.dk

Internet address of Tax Authoirty : Information on VAT refunds in DK inseveral languages

Downloads

www.erhverv.toldskat.dk/customs_files/blanket.asp?path=0/12109/56080/56105&maalgruppe=virksomheder

VAT rates and application

Stadard rate: 25%

Applies to:

All goods and services not qualifying for another rate or exemption

Higher Rate: None

Reduced Rate: None

Refunds of VAT for non-registered foreign businesses

Refunds of VAT to non-registered companies in other EU member states as well as to non-registered companies outside the eU

What are the main types of supplies where recovery restrictions apply?

1. hotel accommodation*
2. restaurant*
3. entertainment
4. hospitality/entertainment
5. business gifts
6. food for employer/employee
7. accommodation for employer/employee
8. kindergarten and similar institutions for employees
9. purchase and running costs of private motor vehicles (for 9 persons or less)*
10. employee payment in kind

*=However

• partial 25% deduction of the vAT on items 1 and 2 if the costs are strictly business related
• VAT on long-term rent, or leasing of vehicles mentioned in item 9 can be deducted according to a special scheme, if the business use is more than 10%

Are there any other restrictions on claims?

None

Is a representative needed in order to make a claim?

No

Additional information

The minimum amount for which VAT can be claimed must be DKK1,500 and this for a minimum period of 3 months. However, if the application is covering a whole calendar year or the remainder of a calendar year, the minimum amount is DKK 200.

The application must be submitted at the latest June 30 following the calendar year in whcih the taxable transaction occurred.

Necessary documents to be provided are a certifcate of status (of taxable person), the original invoices and/or the import documents and authorization.

Invoicing requirements:

• Generally (on a domestic supply)
• the date of issue of the invoice
• the invoice number (serial number)
• the supplier's name, address and VAT number
• the buyer's name and address
• specification of the deliveries (nature and volume)
• sales price in any currency
• the VAT amount in Danish Kroner or Euro (or where VAT inclusive 20% of the toal is VAT). If, however, a foreign currency is used the invoice should indicate the vAT amount in DKK or Euro, or the exchange rate must be shown.

Intra-EU supplies

As above with the requirement for the vAt registration number of the customer where the supply is one of zero-rated goods.

Exports

As per domestic supply.

Are electronic paperless invoices accepted?

Yes

Additional information

E-invoicing is allowed as long as the E-invoice meets the generla invoice requirements.

If the E-invoice is E-stored all information in the system must be accessible and the system must be able to make a readable print of all information. The system should be accompanied by an operating manual in English or Danish.