Europe · DKK

Denmark

Reviewed 2026-06-21
Top income tax
52.07%
Self-employed SS
Optional
VAT
25%
Capital gains
42%
Exit tax
Yes
Nomad visa
No
42
/ 100
Tax efficiency26
Ease to enter70
Ease to exit21
Cost of living61
Internet59
English100
How is this scored?
Denmark taxes residents on worldwide income with a steep progressive system that combines national brackets, an 8% labour market tax, and a flat municipal income tax averaging about 25%, pushing the top marginal rate above 52%. There is no wealth tax, the corporate rate is a flat 22%, and gains on listed shares are taxed at 27% up to a threshold and 42% above it. A 27% flat expat scheme exists for high earners and researchers, and the Start-up Denmark programme offers a route for non-EU entrepreneurs, but there is no digital nomad visa and an exit tax can apply to long-term residents who leave holding shares.

Personal income tax

Income tax structureProgressive
Top income tax rate52.07%
Entry income tax rate12.01%
Top rate threshold$420,000
Taxation basisWorldwide
Local/state income taxYes

Social security

Self-employed social securityOptional

Indirect & other taxes

VAT standard rate25%
Capital gains rate42%
Long-hold CGT exemptionNo
Wealth taxNo
Inheritance/gift taxYes
Inheritance top rate36.25%
Property taxNo

Exit & residency

Exit taxYes
Exit tax triggerDeemed realisation of shares, bonds and financial contracts on departure if the individual held them and had full Danish tax liability for at least 7 of the prior 10 years
Exit tax residency lookback7 years
EU/EEA deferralNo
Days to trigger residency183 days

Corporate

Corporate income tax rate22%
WHT on dividends27%
CFC rulesYes

Incentives & special regimes

Special expat regimeYes
Expat regime nameResearcher/key-employee scheme (Forskerskatteordningen / expat tax, 27% flat plus 8% labour market tax for up to 7 years)

Immigration & setup

Digital nomad visaNo
Entrepreneur visaYes
Ease of setup5 / 5

Lifestyle

Cost of living index70
Internet speed256 Mbps
English proficiencyHigh
Civil liberties95

Sources

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Informational only. Nothing here is tax, legal, or financial advice. Tax rules change often and vary by personal circumstance. Verify every figure against an official source and a qualified adviser before acting. Figures are re-expressed from public sources and cited per country.