VAT and Sales Tax Rates in Denmark for 2024

Denmark VAT Rate

25.00%

About kr25 tax on a kr100 purchase

Exact tax amount may vary for different items

The current Denmark VAT (Value Added Tax) is 25.00%.

The VAT is a sales tax that applies to the purchase of most goods and services, and must be collected and submitted by the merchant to the Denmark governmental revenue department.

Denmark's VAT rate of 25% ranks as one of the ten highest VAT rates in the world.Countries with similar VAT rates include Iceland with a VAT of 26%.

VAT/Sales Tax	Reduced VAT Rate	World VAT Rank
25%	None	2nd of 34

Denmark VAT Refund For Visitors

Visitors to Denmark may be able to get a refund of the Denmark VAT tax paid on any goods bought for deportation. To get a VAT refund, you must present receipts for the goods purchased (and possibly proof of your deportation of the goods) to a Denmark VAT refund station (which are often found in airports, tourist offices, or international travel hubs).

Some localities have a minimum purchase price for which a VAT refund can be claimed, or certain purchase types which cannot be made tax-free. A VAT refund of up to 25.00% of your total expenditures may be refunded for qualifying purchases. Regulations on VAT and sales tax refunds vary across countries and by region, so be sure to check ahead before expecting a Denmark VAT refund.

Denmark VAT Law For Businesses and Merchants

Businesses in Denmark are required to collect a sales tax of 25.00% on behalf of the government, which they must submit to the applicable Denmark revenue department in a periodical VAT tax return. Unlike the United States' sales tax, which is only charged on sales to end consumers, the VAT is collected on all sales - even of raw materials.

Businesses may be required to register for a Denmark VAT number or other identifier to enable the government to track and verify VAT tax returns. VAT collection is a responsibility of the merchant, and failure to collect and submit the appropriate tax amounts may result in severe penalties.