Income Tax Rates Denmark

Generally individuals are subject to national income tax municipal tax regional tax labour market tax and church tax all described below.

Income tax rates denmark. Rates individual income tax rate taxable income rate up to dkk 54 790 8 dkk 54 791 dkk 375 238 40 dkk 375 239 dkk 577 173 42 7 over 577 173 56 5 capital gains tax rate 27 42 residence an individual is resident if he she has a permanent residence and a qualifying stay in denmark or spends more than six months in denmark. Personal income tax rates. From 1897 to the present denmark continued to boast exceptionally high income tax rates never dropping below the top five countries in europe in terms of percentage revenue earned from income taxes. The marginal tax rate may vary approximately 1 2 percentage point depending on which municipality the taxpayer lives in.

Including voluntary church tax of an average of 0 67 percent and based on an average municipality tax rate. The personal income tax rate in denmark stands at 55 80 percent. 14 9 169 are free of income tax 47 475 45 income tax 5 5 solidarity surcharge based on the total tax bill 19 standard rate 7 reduced rate taxation in germany georgia. 0 15 on distribution of profit 20 5 on dividend interest and royalty 20 5 on dividend interest and royalty 18 taxation in georgia ghana.

Denmark residents income tax tables in 2019. An individual with limited tax liability to denmark will as a main rule be taxed by up to 52 06 55 89 including am tax on income from sources in denmark in 2020. Your average tax rate is 33 48 and your marginal tax rate is 39 31 this marginal tax rate means that your immediate additional income will be taxed at this rate. Below we have highlighted a number of tax rates ranks and measures detailing the income tax business tax consumption tax property tax and international tax systems.

By 1897 denmark s income tax encompassed 15 00 of the state s total revenue far surpassing any other european country at the time. Personal income tax rate in denmark averaged 60 45 percent from 1995 until 2018 reaching an all time high of 65 90 percent in 1997 and a record low of 55 40 percent in 2010. How does the denmark tax code rank. Income tax rates and thresholds annual tax rate taxable income threshold.

Denmark has one of the lowest income taxes in the world charging a maximum income tax of 18 67. The calculation of the marginal tax rate includes the taxable value of a mandatory employment allowance. This page provides denmark personal income tax rate actual values historical data forecast chart statistics economic calendar and news.