The Kingdom of Denmark is located in Northern Europe. Kingdom of Denmark includes autonomous territories of the Faroe Islands and Greenland in the North Atlantic Ocean. Denmark has a territory of 42,943 square kilometers. Denmark has access to the North Sea and to the Baltic Sea. Denmark borders Germany, Norway and Sweden. The capital city of Denmark is Copenhagen, the largest city and the location of key government institutions. Denmark has a population of 5,95 million people.
Corporate taxation, VAT taxation, Personal taxation
- Corporate income tax - 22%. Tax returns are filed on an annual basis. Advance income tax payments are made on a biannual basis
- Dividend withholding tax - Standard tax rate 22%
- Interest withholding tax - Standard tax rate 22%
- Royalties withholding tax - 0% and 22%
- Capital gains tax - 22%
- VAT - Standard tax rate 25% or reduced rate 0% or tax exempt. Tax returns are filed on a monthly, a quarterly or a biannual basis
- Personal income tax - from 8% up to 56%.
The following are the most common types of companies to incorporate a company in Denmark as:
- Private limited company (Anpartsselskaber - ApS)
- Public limited company (Aktieselskaber - A/S)
- Limited partnership company (Partnerselskaber - P/S)
- General partnership (Interessentskab - I/S)
- Limited partnership (Kommanditselskab - K/S)
- European company (Societas Europaea)
- Branch office (Filial).
Official currency of Denmark is Danish krone (DKK).
Denmark has a developed mixed high-income economy that is dependent on foreign trade. Major industries include wind turbines, pharmaceuticals, medical equipment, machinery and transportation equipment, food processing, and construction. Circa 60% of the total export value is due to export of goods, and the remaining 40% is from service exports, mainly sea transport.
The GDP of Denmark grew by 5% in 2021 and amounted to USD 398.3 billion. Tertiary sector makes up almost 65.6% of the GDP of the country, followed by industry sector at 20.2%, agriculture at 1%.
In terms of foreign trade the largest exports of the country are wind turbines, pharmaceuticals, machinery and instruments, meat and meat products, dairy products, fish, building toys, furniture and design.
Imports of Denmark consist of energy, petroleum oils, natural gas, cars and vehicles, electrical equipment, consumer goods, cruise ships, excursion boats, ferry-boats, cargo ships, barges and similar vessels for the transport of persons or goods.
Primary trading partners of Denmark are Germany, United Kingdom, Norway, Sweden, Netherlands, Finland, Poland, USA, Belgium, China and France.