Tax overview

Healthcare contribution (including ATP supplementary labour pension) 6 %
Tax Municipality of Esbjerg  25,4 %
Danish National Church tax
- for members of the Danish church only.
0,81 %
Bottom-bracket tax 
-on income over DKK 42.000 per year
 
5,83 %
Top-bracket tax 
-on income over DKK 421.000 per year
15%

 
(all figures are 2013 figures)

In addition labour market contribution is 8 %. However, this contribution is not included when calculating tax.

Income in the form of holiday benefits, fees, bonuses and commission is also considered salary income in regards of calculating taxes, and the same goes for fringe benefits such as the value of a company car and telephone, free internet, employer-funded health care services, housing expenses, relocation costs, school fees etc.

Other taxes
On top of income taxes, homeowners pay property taxes.

Furthermore, a 25% VAT is charged on virtually all goods. A number of products such as cars, petrol, alcohol and electricity are also subject to extra taxes.

 

ALLOWANCE OVERVIEW:

 

Personal Allowance - per year DKK 42.000
Employment deduction  - per year DKK 22.300
Transportation allowance
- per kilometer from 24 to 120 per day.
DKK 2,13

 
In addition you can deduct expenses for union membership, unemployment funds, commuting, contributions to pensions, interest payments etc.