VAT loan: Small and medium-sized businesses could apply.

Medium-sized businesses settling VAT on a quarterly basis typically include new businesses and businesses with a turnover of DKK 5 million to DKK 50 million.

Small businesses settling VAT on a half-yearly basis include businesses with a turnover of less than DKK 5 million.

Payroll tax loan: Businesses settling payroll tax according to method 4, such as doctors, dentists, physiotherapists, self-employed taxi drivers and the cultural sector, could apply for a payroll tax loan. Read more about businesses covered by payroll tax and method 4.

The second application period ended on 18 December 2020.

If you have not had time to apply for a loan due to sudden unexpected events that are beyond the control of your business and that your business could not have foreseen, you can still apply for a loan. This requires, however, that you apply immediately after the sudden event is no longer an obstacle. You apply by writing to us via E-tax for businesses (TastSelv Erhverv) > 'Contact' (Kontakt) > 'Skriv til os' (Write to us)'.

Businesses applying had to meet the following requirements:

• not already had an active VAT or payroll tax loan.
• not be a public institution.
• not be under bankruptcy or reorganisation proceedings, voluntary liquidation or compulsory winding-up.
• not have one or more tax estimates which have not been replaced by a declaration. Read more below.
• not have provided security or been ordered to provide security under section 11 of the Danish Tax Collection Act (Opkrævningsloven).
• not have a natural or legal person who has been convicted of tax fraud within the past ten years, and who:
  • owns the business
  • runs the business in practice
  • is a member of the business’s board of directors or executive board
  • is a branch manager in the business
• not changed 50% or more of the ownership during the period from 27 October 2020 up to and including 18 December 2020. It is, however, possible to apply if you enclose an auditor’s statement confirming the change of ownership.

Please note that if your business's taxes and duties have been based on an estimate within the past 3 years and your business has not replaced the estimate with a correct declaration during the settlement period, your business will not be eligible for the loan. If you have applied and your application was rejected because your business has an active estimate, you can replace it with a correct declaration and then reapply for the loan.

You reapply by calling us on (+45) 72 22 12 39.

How to replace an estimate with a correct declaration:

1. Log on to your business tax account in E-tax for businesses  (TastSelv Erhverv).
2. Click the menu item 'Kontoudtog' (Statement of account) and search for 'Gebyr FF' (Fee, estimate) to find the VAT and tax estimates for which you have been charged a fee. Search using the search function in your browser.
3. When you have found the taxes based on an estimate, you can make a new declaration for the individual taxes and duties.
4. You find the open periods for which no declarations have been made under the individual tabs in E-tax for businesses - such as 'Ansatte' (Employees), (for example, 'eIndkomst og A-skat' (E-income and E-tax), 'Moms' (VAT) or 'Lønsumsafgift' (Payroll tax).
5. Replace the missing declaration(s). Read more about how to make a declaration under the individual taxes and duties in Businesses.
6. It may take up to 4 days until your new declaration is shown on your tax account. You should therefore wait 4 days before reapplying for a loan.

Businesses owing money to the state may apply for a loan. If a loan is granted, it will not be paid to the business, but used to cover the debt. In this way, the business will effectively obtain interest-free deferral of payment.

VAT: You were able to apply for an interest-free VAT loan equal to the VAT the business has declared for the fourth quarter 2019 (medium-sized businesses) or second half year 2019 (small businesses before the 2 March 2020 deadline. The second application period ended on 18 December 2020.

Payroll tax:

• Some businesses declare payroll tax quarterly. The could have applied for a loan equal to the amount they declared in payroll tax for first quarter 2020.
• All businesses paying payroll tax according to method 4, declare payroll tax on profit/loss for income year 2019 or for a staggered income year replacing income year 2019. You could have applied for a loan equal to 25% of the payroll tax on the profit for income year 2019 or for the staggered income year.
• If the business settles payroll tax quarterly and has declared a profit for income year 2019, it could have applied for both loans (provided the other conditions have been met).
• The second application period ended on 18 December 2020.

If the business has unpaid debts (such as unsettled payment of VAT or payroll tax), the amount borrowed will be offset against the debts. This means that the business will not receive the loan as such but will obtain a free credit period equivalent to that.

If your business has been granted a loan, the loan will appear from your business tax account. 

If your business has not paid VAT, payroll tax or other taxes/duties, the loan will first be used to pay these. Then the loan will be offset against any other debt to the State (if your business owes money to the State). Any remaining amounts from the loan will be paid to your business NemKonto.

However, the loan can only be disbursed if you reduce your business's refund limit to a low amount, allowing for the remaining amounts from the loan to be paid to your business NemKonto automatically. 

You can log on to E-tax for businesses (TastSelv Erhverv) to change the refund limit on your tax account.

When transferring the loan to others (disbursement transfer)
A business may transfer part or all of the loan to a third party. This is also referred to as disbursement transfer.

Read more in Danish about the guidelines for transferring a disbursement on the website of the Danish Tax Collection Agency at www.gaeldst.dk.

Due to the short deadline between application for the loan and disbursement of the loan, you should request a transfer via email at the same time, at the latest, as the date you apply for the  loan. Send your application with a description of what should be transferred (the loan) to Transporter@ADST.dk.

The transfer will take into account the order in which any debt to the State should be covered.

Redeclaration of negative amount before the loan is paid out
If, before the loan is paid out, your business makes a negative redeclaration (i.e. a declaration of a negative amount) of the declaration on which the loan is based, the amount will be offset against the loan before the remaining amount is paid out.

Redeclaration of negative amount after the loan is paid out
If, after the loan is paid out, your business makes a negative redeclaration (i.e. a declaration of a negative amount) of the declaration on which the loan is based, the amount will be offset against the loan before any payout of the remaining amount from the negative redeclaration.   

The business must repay the loan via its tax account no later than 1 November 2021.

If the loan is not repaid on time, the business will end up owing money to the State plus added interest. If the business’s total debt exceeds DKK 5,000, a payment reminder will be issued. Continued failure to pay will result in the debt being referred for collection.

If, during the loan period, the business no longer meets the loan requirements, the loan must be repaid immediately after the business no longer meets the requirements. This may be the case if the business is under compulsory winding-up or its taxes and duties are based on an estimate. If the business closes, the loan must be repaid two weeks after the business’s registration ends.

Please call us on (+45) 72 22 12 39 if you need help in relation to repaying the loan.

This applies no matter if you want to make an optional repayment or if during the loan period your business no longer meets the conditions for being granted the loan. The loan should be repaid immediately once the business no longer meets the conditions. This applies if, for example, the business experiences compulsory dissolution or if the business' taxes have been based on an estimate. If the business closes, the loan should be repaid by no later than two weeks after the business has been deregistered.

 Please contact us if you have other questions in relation to the loan. This could be in relation to the application you have made, a loan your business has been granted or other questions in general. You can call us on (+45) 72 22 12 39.

Response to your application within 5 banking days

If you have already applied for a loan, we will get back to you within 5 banking days (however, this does not apply if the business is affected by anuncontrollable situation within the business). You will receive our response in your business message folder in E-tax for businesses (TastSelv Erhverv. You can find your message folder in E-tax for businesses under 'Kontakt' (Contact) and then 'Se svar fra os' (See our response).

• The payment deadline of 14 April has not been extended
• The payment deadline of 11 May has been extended to 10 September 2020
• The payment deadline of 10 June has been extended to 12 October 2020
• The payment deadline of 10 July has been extended to 10 November 2020
• The payment deadline of 10 August has not been extended
• The payment deadline of 10 September has been extended to 29  January 2021
• The payment deadline of 12 October has been extended to 31 MArch 2021
• The payment deadline of 10 November has been extended to 31 May 2021

The declaration deadlines have not been changed.

You can see all the declaration and payment deadlines for A-tax and labour market contributions here.

• The payment deadline of 31 March is not extended
• The payment deadline of 30 April is extended to 31 August 2020
• The payment deadline of 29 May is extended to 30 September 2020
• The payment deadline of 30 June is extended to 30 October 2020
• The payment deadline of 31 July is not extended
• The payment deadline of 31 August is extended to 15 January 2021
• The payment deadline of 30 September is extended to 16 March 2021
• The payment deadline of 30 October is extended to 17 May 2021

The declaration deadlines will not be changed.

You can see all the declaration and payment deadlines for A-tax and labour market contributions here.

If you receive a reminder of one of the original deadlines, please disregard it. 

The Danish Tax Agency may exempt businesses from paying interest and fees if the non-payment is due “sudden events beyond their control, which could not have been foreseen, and if the businesses make the payment immediately after the cause of non-compliance has been removed". We are of the opinion that the corona situation can be characterised as “sudden events beyond their control, which could not have been foreseen".

Please find below a list of examples of businesses that can apply for exemption from payment of interest and fees on A-tax and labour market contributions.

Examples of businesses ordered to close
Businesses that have been ordered to close temporarily as a result of the corona situation can apply for exemption from payment of interest and fees on A-tax and labour market contributions for March 2020. Businesses should note that payment must be made immediately after the cause of non-compliance has been removed, i.e. after the corona situation is over, and that they cannot apply for exemption until they have paid the A-tax and labour market contributions due for March.

The following businesses have been ordered to close temporarily: 

• Restaurants, bars, etc. where food, drinks or tobacco are served to be consumed at the premises.
• Shopping centres, department stores, shopping archades and bazaars.
• Places offering sports and recreational activities, including amusement archades, play centres, aqua parks, public swimming pools, gyms and cinemas.
• Tatoo, piercing, spa, personal care, beauty and massage salons, hair dressers and other facilities offering services where physical contact with the customer is required, and sun tanning salons.

This means that hairdressers, for example, that have been ordered to close as a result of the restrictions pay apply for exemption form payment of interest and fees if the business generally meet the conditions on payment immediately after the cause of non-compliance has been removed.

Examples of businesses that are still allowed to stay open
Businesses that have not been ordered to close, but due to the corona situation have found it necessary to close because of lack of customers, or that due lack of customers because of the corona virus  have suffered a considerably decrease in revenue, may apply for exemption from payment of interest and fees on A-tax and labour market contributions for March 2020. Businesses should note that payment must be made immediately after the cause of non-compliance has been removed, i.e. after the corona situation is over, and that they cannot apply for exemption until they have paid the A-tax and labour market contributions due for March. We will make a specific assessment of whether your business has suffered a considerable decrease in revenue before we approve your application.

The following businesses are still allowed to stay open:

• Grocery shops, pharmacies and specialised shops with medical equipment.
• Restaurants etc. selling take-away food.
• Places offering sports and recreational activities, if such places are used for necessary rehabilitation of people. These places may stay open to these people.
• Shops selling goods at reduced prices and which are not located in shopping centres, department stores, shopping archades and bazaars.

This means that restaurants, for example, that have been ordered to stop serving food to be consumed at their premises, but that are now open and sell take-away food, but fail to do so because of the corona situation, may apply for exemption if they pay their A-taxes and labour market immediately after the cause of non-compliance has been removed.

This also means that a clothing shop, for example, that is still allowed to stay open, but due to lack of customers has chosen to stay closed, may apply for exemption if it pays its A-tax and labour market contributions immediately after the cause of non-compliance has been removed.

You can not apply until the corona situation is normalised and when the due A-tax and labour market contributions for March are actually paid. Please send your application to us by means of this Danish-language application form (www.virk.dk) or by completing the contact form in E-tax for businesses (TastSelv Erhverv).

At the moment it is not possible to say when the corona situation is over and when the cause of non-compliance regarding payment of A-tax and labour market contributions for March 2020 has been removed. This depends on several factors that are still unknown and to what extent Denmark could open up again. When we have a clearer picture of this, we will send out application details for exemption from payment of interest and fees on A-tax and labour market contributions.    

If you do not pay your business A-tax on 31 March 2020 (for large businesses) or on 14 April 2020 (for small and medium-sized businesses), but subsequently pay an amount to your tax account in May to cover excise duties, for example, this payment will be used to cover the unpaid A-tax first. Any excess amount will then be used to cover excise duties. So, the oldest entry is covered first, see the Danish Tax Collection Act (Opkrævningsloven).

Read more about payments to your tax account

If I am entitled to a refund
If you are entitled to a refund of negative VAT, for example, and there is no unpaid debt on your tax account, the credit balance will be used to cover any debt that has been transferred for collection with the Danish Debt Collection Agency (Gældsstyrelsen). Any remaining credit balance will then be transferred to your business NemKonto.

How does the Tax Agency ensure that I do not have to pay interest and fees?
When you have applied for exemption from payment of interest, the individual payments will be identified through a manual review. This ensures that no interest is charged on the unpaid A-tax and /or labour market contributions, or that any interest already charged may be written down.

As a personally owned business, you do not have to pay B-tax in April or May. The payment deadlines are extended to two months which are today instalment-free months:

• The payment deadline of 20 April has been extended to 22 June 2020
• The payment deadline of 20 May has been extended to 21 December 2020

If you pay via your B-tax instalments via direct debit, Betalingsservice, you do not have to do anything further, as they are automatically deferred to the extended deadlines. If you pay via online banking, you just have to pay by the extended deadlines. 

What to do if I receive an automatic reminder of one of the original deadlines?
If you receive a reminder of one of the original deadlines, please disregard it.  

If you pay B-tax and the profit from your business has suddenly decreased, you can already now correct your profit in your preliminary income assessment in E-tax (TastSelv).

In this way, you reduce your B-tax instalments, making the instalments lower and possibly lapse. You will  automatically receive new giro transfer forms or payment lines in E-tax for the remaining months of the year.

Log on to E-tax for individuals (TastSelv Borger)
Correct your business profit in field 221 in your preliminary income assessment for 2020

Remember to increase the profit when the situation changes
To avoid having to pay outstanding tax, it is important that you remember to correct the profit again when the situation changes. So, when the situation changes and you start earning a profit, you must increase the profit again and you will then receive new B-tax instalments.

We are aware that this is a very special situation. We consequently take this into account in our inspection and audit policy. However, we are keeping an eye on whether businesses remember to increase their profits when the situation normalises. You must increase the profit again in E-tax (TastSelv) when your situation changes.

On 17 March, the Danish Tax Agency sent a letter to 140,000 personally owned businesses which were to pay the next B-tax instalment on 20 March 2020. The letter informed the business owners that they could make a downward adjustment of the profit for the year in their preliminary income assessment in E-tax (TastSelv) if they found that there would be no profit for the year or that it would decrease significantly. For some businesses, this could mean that the B-tax instalment payable on 20 March would lapse.

If you changed your profit in your preliminary income assessment no later than 18 March 2020 at 16:00, and your B-tax instalment for March decreased or lapsed , the B-tax instalment for March would not be paid via Betalingsservice.

If you were to pay a smaller amount, you have received a giro transfer form, which you must pay. Payment of any B-taxes for the rest of the year will instead be debited automatically in accordance with the extended deadlines via Betalingsservice.

If you changed your preliminary income assessment later than at 16:00 on 18 March 2020, the change would not have effect. The original B-tax instalment for March 2020 would therefore generally be debited to your account.

If you paid too much, the excess amount will be refunded to you in April unless you have arrears against which we will offset the amount first.

Both businesses and companies are covered by the extended filing deadline:

• Personally owned businesses, including sole proprietorships, personally owned small businesses (PMV) and partnerships (I/S)
• Companies, foundations, associations, etc., including entrepreneurial companies (IVS), private limited company (ApS) and public limited companies (A/S).

• For personally owned businesses the deadline has been extended to 1 September 2020. The usual deadline is 1 July 2020.
• For companies with a tax return filing deadline of 31 March 2020 and later for income year 2019, the deadline has been extended to 1 September 2020.
• For companies with a tax return filing deadline for in October 2020 for income year 2020, the deadline has been extended to 31 January 2021.

The deadline for voluntary payment of outstanding tax has not been extended. Read more about payment of outstanding tax.

If you have a personally owned business, there are advantages and disadvantes of deferring the filing deadline to 1 September. The deadline for optional payment of outstanding tax is not deferred.

• If you file your tax return before the deadline and you are entitled to a tax refund, you will get your refund sooner.
• If you owe tax and pay the outstanding amount before 1 July 2020, 2% interest will be charged up to and including the payment date. If you pay after 1 July 2020, you must pay an additional interest charge of 4%.
• If you owe tax of up to DKK 21,320, including additional interest charges, the amount outstanding will be included in your tax for 2021.
• If you owe more than DKK 21,320, including additional interest charges, any outstanding tax in excess of this limit is payable in three instalments in August, September and October. We will notify you via digital post when it is time to pay the first instalment. Please note that the extended declaration deadline of 1 September may mean that your instalments may be charged at a later point in time. 

For companies it does not matter whether you file your tax returns before the original deadline or wait until the extended deadline.

For other information subject to the tax return filing deadline, the deadline is extended to 1 September 2020. The same applies to TP documentation, for example, which must be prepared regularly and be available no later than the date of the filing deadline, and to requests for refunds under the tax creditor scheme.

If you receive a reminder of one of the original deadlines, please disregard it. 

For small and medium-sized businesses, the VAT periods for the first and second quarters and for the first and second halves of the year are combined. Additionally, the deadlines for third and fourth VAT periods are also combined. However, you still have to report each period.

Medium-sized businesses settling quarterly generally include newly-registered businesses and businesses with a turnover between DKK 5 million and DKK 50 million.

Small businessess settling on a half year basis include businesses with a total turnover of less than DKK 5 million.

If you are unsure of which settlement period applies to your business, you can log on to E-tax for businesses and check it under Moms (VAT).

This extends the filing and payment deadlines for VAT returns:

• medium-sized businesses by three months for the first and third quarters of 2020
• small businesses by six months for the first half of 2020

The periods are combined, so that if your business settles quarterly, you pay VAT in continuation of the VAT return for the second and fourth periods. Whereas if your business settles every six months, you pay VAT in continuation of the VAT return for the second period.

The periods are combines so that you pay VAT in continuation of the second period. However, VAT returns can still be filed at the original deadlines and with, for example, refund of negative VAT.

Extended quarterly VAT settlement:

• The 2 June 2020 deadline is extended to 1 September 2020
• The 1 September 2020 deadline remains  unchanged
• The 1 December 2020 deadline is extended to 1 March 2021
• The 1 March 2021 remains unchanged

Extended halv-year settlement:

• The 1 September 2020 deadline is extended to 1 March 2021
• The 1 March 2021 deadline remains unchanged

The deadlines for reporting EU sales exclusive of VAT have not been extended. The same goes for the VAT One Stop Shop filing deadlines. Please be aware of the usual deadlines.

For large businesses settling VAT on a monthly basis and which include businesses with a turnover of more than DKK 50 million the deadline for filing their VAT return and paying their VAT has been extended as follows:

• The deadline of 27 April has been extended to 25 May 2020
• The deadline of 25 May has been extended to 25 June 2020
• The deadline of 25 June has been extended to 27 July 2020
• The deadline of 17 August is not extended as it is already an extended deadline
• The deadline of 25 August has been extended to 9 September 2020
• The deadline of 25 September has been extended to 2 October 2020

The deadlines for reporting EU sales exclusive of VAT have not been extended. The same goes for the VAT One Stop Shop filing deadlines. Please be aware of the usual deadlines.

No. You must pay VAT at the same usual deadlines.

We encourage you to file your VAT return at the original deadline and only defer the payment.

Statistics Denmark uses the VAT returns to highlight the current economic situation in Denmark, including statement of the National Accounts. It is important for them to be able to provide the best possible data basis to the decision-makers, also in this exceptional situation. You are therefore requested to file your VAT return as before and only defer the payment.

If you still want to make your payment at the original deadline

You may also still pay your VAT at the original deadline. But please note that you should increase your refund limit on your tax account so that the paid amount is not refunded again. You can read more about the refund limit in under Payment before the extended deadlines (new refund limit on the tax account) further down on this page.
You must file a separate VAT return and make the relevant payment for each individual period at the new deadline even though the periods have been combined.

No, a refund of VAT is not included in the aid package. However, small and medium-sized businesses may apply for an interest-free VAT loan of an amount corresponding to the VAT the business declared for the fourth quarter 2019 (medium-sized businesses) or second half 2019 (small businesses) up to the 2 March 2020 deadline. Read more about VAT loans for small and medium-sized businesses.

You may file your VAT return by the original payment deadline

We encourage you to file your VAT return at the original payment deadline if you can and only wait to make your payment.

If you (no later than 1 September 2020) file a negative VAT return for the first six months of 2020, you will be paid the negative VAT according to the rules for payment of negative VAT.

If you file a VAT return within the original deadline, you may still pay by the original deadline. Please note that you should increase your refund limit (udbetalingsgrænse) in your tax account so that the amount you pay is not returned to you. Read more about the refund limit in the section Paying before the extended deadlines (new limit in the tax account) below.

You can see all VAT return and payment deadlines here.

You may file your VAT return by the original payment deadline

We encourage you to file your VAT return by the original payment deadline if you can and only wait to make your payment.

If you (no later than 1 December 2020) file a negative VAT return for the third quarter of 2020, you will be paid the negative VAT according to the rules for payment of negative VAT.

If you file a VAT return by the original deadline, you may still pay by the original deadline. Please note that you should increase your refund limit (udbetalingsgrænse) in your tax account so that the amount you pay is not returned to you. Read more about the refund limit in the section Paying before the extended deadlines (new limit in the tax account) below.

You can see all VAT return and payment deadlines here.

You can see all VAT return and payment deadlines here.

If you receive a reminder of one of the original deadlines, please disregard it.