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.