Running a business in Denmark — obligations and formalities
Published: 2026-07-24
Running a business in Denmark is not only about setting it up — after registration come regular, recurring obligations: accounting (bogføring), tax filings, VAT (moms), and, if you hire, employer obligations too. Their scope depends on the legal form (enkeltmandsvirksomhed or ApS) and on whether the business employs anyone. Much of the contact with the authorities is digital — via the Virk portal and the Digital Post inbox (e-Boks). Below we organise the main ongoing obligations and deadlines, so you know what to do and when. If you are just starting out, begin with our umbrella guide on starting a company in Denmark; if you are checking an existing Danish counterparty, see the guide on verifying a company.
What ongoing obligations does a business in Denmark have?
Regardless of the form, every business keeps accounts (bogføring) and files tax. On top of that come VAT (moms) once turnover exceeds the threshold, employer obligations when hiring, and keeping registry data up to date.
The scope differs between forms: an ApS has full accounting and files an annual report (årsrapport) with Erhvervsstyrelsen, where it becomes public, whereas an enkeltmandsvirksomhed has simpler obligations and usually does not file a separate report with the register. Below we break these areas down: taxes and VAT, employer obligations and updating data.
Taxes and VAT (moms) in Denmark
How tax works depends on the form. In an enkeltmandsvirksomhed profit is taxed as the owner's personal income, while in an ApS the company pays corporate income tax (selskabsskat), and a dividend payout is taxed separately at the shareholder. Tax is settled with the Danish tax authority (Skattestyrelsen), usually digitally.
VAT (moms) applies once taxable turnover exceeds the threshold, which in Denmark is DKK 50,000 over a 12-month period. After registering for moms, the business charges the tax, files returns and settles it in the set periods. Because Denmark is in the European Union, the Danish VAT number is visible in the EU VIES system, and intra-EU transactions follow Union rules. Specific rates, thresholds and deadlines change and depend on the situation — confirm them with a Danish adviser or accountant. This guide is not tax advice.
Employer obligations when hiring
When a business hires employees, it becomes an employer and must register as one and account for the related charges. In practice this means withholding advance income tax for the employee (A-skat), the labour-market contribution (AM-bidrag), and duties tied to paying wages and digital reporting to the authorities. Wages usually go to the employee's NemKonto account.
On top of that come employment terms compliant with Danish labour law and — in many sectors — collective agreements (overenskomst), which set minimum pay and working conditions. Denmark has no statutory minimum wage, so collective agreements play that role where they apply. This is an area where details are sometimes updated and mistakes are costly — confirm the specific requirements for your situation with a Danish adviser or accountant.
Updating data and reporting
A business must keep its registry data up to date — address, scope of activity, people authorised to represent it, and in companies also the beneficial owners (reelle ejere). Changes are reported via the Virk portal. Official correspondence from the authorities goes to the digital Digital Post inbox (e-Boks), which must be checked regularly, because deadlines run whether or not a message has been read.
An ApS additionally files an annual report (årsrapport) with Erhvervsstyrelsen, and how much is disclosed depends on the size class (regnskabsklasse). The table below summarises the main ongoing obligations by form — treat it as orientation, not a full list, as details depend on the sector and situation.
| Obligation | Enkeltmandsvirksomhed | ApS company |
|---|---|---|
| Accounting (bogføring) | simpler | full |
| Annual report (årsrapport) | usually no | yes, to Erhvervsstyrelsen |
| VAT (moms) above DKK 50,000 | yes | yes |
| Beneficial owners (reelle ejere) | not applicable | yes, registered |
Check a Danish counterparty before you sign
Running a business also means working with counterparties — and every new relationship is worth starting with a check of the other side. Confirm that the Danish company exists and is active, check its legal form, the people authorised to represent it, its status and its financial health from the accounts. Company data comes from the CVR register (the Virk portal), and tax status — including VAT (moms) — from Skattestyrelsen.
The problem is that the data can be scattered and in Danish, and statuses are easy to confuse. A NordScan report gathers them into one clear whole in your language — registry data, legal form, representation, status and finances — in a single PDF, without needing Danish. We describe the verification process step by step in a separate guide on checking a Danish company.
Frequently asked questions
- What taxes does a business in Denmark pay?
- It depends on the form. In an enkeltmandsvirksomhed profit is taxed as the owner's personal income, while in an ApS the company pays corporate income tax (selskabsskat) and a dividend is taxed separately at the shareholder. On top of that comes VAT (moms) once turnover exceeds the threshold. Tax is handled by Skattestyrelsen. Rates and rules change — confirm them with a Danish adviser.
- When do you have to register for VAT (moms) in Denmark?
- Once taxable turnover exceeds the threshold, which in Denmark is DKK 50,000 over a 12-month period. Registration is handled by Skattestyrelsen (via the Virk portal). Because Denmark is in the EU, the Danish VAT number is visible in the VIES system. Thresholds are sometimes adjusted — check the current figure.
- Does an ApS have to file an annual report?
- Yes. An ApS has full accounting and files an annual report (årsrapport) with Erhvervsstyrelsen, where it becomes public; how much is disclosed depends on the size class (regnskabsklasse). An enkeltmandsvirksomhed usually does not file a separate report with the register, but still keeps accounts and files tax.
- What is Digital Post (e-Boks) and why does it matter?
- Digital Post (e-Boks) is a digital inbox through which the Danish authorities send official correspondence to a business. It must be checked regularly, because deadlines to reply or pay run whether or not a message has been read. Neglecting the inbox is a common cause of missed obligations and penalties.
- How do I check a Danish counterparty before working with them?
- Confirm the company exists and is active, check its legal form, representation, status and finances from the accounts. Company data comes from the CVR register (the Virk portal), and tax status (VAT/moms) from Skattestyrelsen. A NordScan report gathers this into one whole in your language, in a single PDF, without needing Danish. We describe the process step by step in the guide on checking a Danish company.
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Related guides
This guide is for information purposes only and does not constitute legal or tax advice. Laws and registry rules may change — the information held in the relevant country's official registers is always decisive.