In Denmark, all companies are required to submit their annual financial statements and tax returns by a certain deadline each year. The process of annual settlement can be complex and time-consuming, especially for foreign companies who may not be familiar with Danish regulations. In this article, we will provide an overview of the deadlines and required documents for annual settlement of a company in Denmark, in order to help ensure that your company is in compliance with the law and avoid any potential penalties.
Annual settlement of a company in Denmark – what is it?
By annual settlement of business in Denmark is meant the annual settlement carried out with the Danish tax – SKAT tax office. It is performed by owners of all businesses, including sole proprietorships and companies.
The annual settlement is used to summarize the tax year and allows you to receive a tax refund or requires a tax surcharge, depending on the calculation.
Currently in Denmark you can also take advantage of online settlement, which allows you to quickly and easily file your tax return and receive a tax decision on either a refund or surcharge practically immediately.
By when to settle a company in Denmark?
The deadline for the Danish annual settlement is July 1, so you will need to deliver the settlement document to the tax office by this date.
Documents needed for the annual settlement of a company in Denmark. To carry out the annual settlement of a business in Denmark, the Selvangivelse document is used. This is a tax return form that is issued by the SKAT tax office and then forwarded by it to the taxpayer. The taxpayer has the opportunity to take advantage of various reliefs to reduce his tax bill. He can then apply them precisely on the Selvangivelse form.
After the due date of the annual tax return, the Danish tax office provides taxpayers with the Årsopgørelse document, which contains the tax decision. This decision indicates the amount of tax refund or surcharge.
To avoid any confusion or mistakes during the annual settlement process, it is highly recommended to seek help from a professional accountant in Denmark. A Danish accountant will have a deep understanding of Danish regulations and can guide you through the process, ensuring that all the necessary documents are prepared and submitted on time. Not only it will save you time but also will decrease the risk of penalties or fines, which can be costly for your business. Utilizing the services of a professional accountant in Denmark can help ensure that your company is in compliance with the law and can help you focus on running and growing your business.
