Most people who work/ or live in Denmark are required to pay tax in Denmark and to register with the Danish Tax Agency.
As an international / non-Danish researcher, there are different tax schemes and guidelines according to your status.
When you are employed at Aarhus University as an international researcher you may, under certain conditions, be eligible for the special tax scheme for international researchers. On this scheme you pay a flat rate tax of currently 32.84 percent and can stay on this scheme only for a period of 84 months. The researcher tax consists of an 8% labour market contribution and 27 % tax. The 27 % tax is calculated after the deduction of the 8 % labour market contribution.
To be eligible for this scheme:
The researcher tax scheme only applies to salary from Aarhus University. Other income is taxed according to the ordinary tax rules.
It is also possible to be on the researcher taxation scheme, even if you are employed in Denmark but live abroad. It is a requirement that you work in Denmark at least one day a month.
Please inform your HR-supporter whether you wish to be on the researcher taxation scheme or not. It is also your AU HR-supporter who will sign you on to the researcher tax scheme, provided you are eligible.
After seven years of employment on the researcher taxation scheme, you will automatically be transferred to the ordinary taxation scheme. Should you wish to change at an earlier time, you need to contact your HR-supporter. Please note that once you have been on ordinary Danish taxation, you must have lived for ten years abroad in order again to be on the special researcher taxation scheme.
For more information, see the Aarhus University HR website - Taxation of researchers.
Most people who work/ or live in Denmark are required to pay tax in Denmark and to register with the Danish Tax Agency. As an employee at Aarhus University, you will need to obtain a Danish tax card and Danish personal tax number. If you have chosen to be on the researcher taxation scheme, you do not need to register with the Danish Tax Agency yourself, your HR contact person at the university will do the registration for you.
You apply for the tax card with the Danish Customs and Tax Administration:
Fill in the form 04.063 online
Then the Danish Customs and Tax Administration will set up your virtual tax card online.
The tax card ensures that you get the tax allowances and reliefs you are entitled to before your employer withholds tax from your income.
Each year in March/April, you will receive a preliminary tax statement. You should change the information in the preliminary tax statement if your income or allowances change considerably, else you may risk having to pay back money in the following tax year. You change your tax card online via the self-service facility (TastSelv).
The Danish tax system is progressive, meaning that the more you earn, the more tax you pay. Your income tax consists of labour market contribution (AM bidrag), municipal tax, church tax (optional), health tax and state tax. As a taxpayer on the ordinary (or regular) tax scheme, you may be eligible for various deductions such as for example interest expenses, travelling expenses, contributions to some charity funds and union fees. You can read about the kinds of deductions and allowances you can take on the skat.dk website under Deductions from income and allowances from your employer
There are many personal circumstances that can influence your tax rate, and rates can generally vary from approx. 30 % to approx. 56 %. Most people range between 35 – 42 %. You can contact the Danish Tax Agency for more information about deductions or consult the guides listed to the right of this page. If you do not have a tax card, you will be taxed 55 % of your salary.
The Danish Tax Agency distinguishes between full and limited tax liability. If you are an international employee with a residence in another country, there are different tax scenarios that can apply.
On skat.dk under Tax liability you can read about how tax liability is determined by the Danish Tax Agency.
There are many factors that can affect tax liability and determining your status depending on your home country and existing double taxation agreements. Therefore, we recommend you to call the Danish Tax Agency to make sure you are being taxed correctly and according to your situation. You may also seek professional tax assistance or guidance with our Aarhus University provider Deloitte. Read more under Tax assistance.
Read more about tax liability when coming to work or live on the official website for the Danish tax authorities (the Danish Customs and Tax Administration) in Your tax guide to working in Denmark Skat.dk
For specific questions about your personal tax status, we advise you in the first instance to contact the Danish Tax Agency.
Contact you local HR department:
If you need professional tax assistance or guidance, you can contact our Aarhus University provider Deloitte. You will need to check with your department if they will cover the expenses, otherwise, you will need to find out about pricing and pay yourself.
Find an overview of services and the Deloitte assistance form on Tax advice for our international staff
Lars Bennedsgaard Andersen
Tax adviser and Director
Tax - Global Mobility MN
Direct phone: +45 61 70 53 51
Email: dkdeloitteauni@deloitte.dk
The International Staff office offers an interactive tax webinar twice a year. Employees of the Danish Tax Agency present an overview of the Danish tax system, the researcher tax scheme, the ordinary tax scheme and answer your questions on live stream. Check for upcoming webinars in the ISO events and activities calendar.
If you stay in Denmark for up to 3 months, you may not be fully tax liable in Denmark. The rules depend on whether you are granted a fellowship or you are employed by the university, your residence during the period and other factors.
There are a number of criteria, which form the basis for the taxation of fellowships such as whether you are a resident in Denmark, the length of stay and the type of stay. These criteria determine whether a fellowship will or will not be taxed in Denmark.
For a stay in Denmark of more than 3 months, a fellowship will typically be subject to taxation in Denmark.
PLEASE NOTE: Fellowships to non-employed PhD students, e.g. CSC-fellowships, have also in recent cases been subject to taxation in Denmark.
If you are granted a fellowship during your research visit you may, under certain circumstances, be exempt from tax under the Danish Income Tax Act. You should always consult the Danish tax authorities to enquire about this. In order to determine your tax status, please contact the local HR administration/PhD administration who will assist you in connection with a possible application for tax exemption.
Please be aware that a tax exemption of your fellowship in your home country or the country providing the fellowship, not necessarily applies in Denmark. You must therefore expect the fellowship to be tax liable in Denmark regardless of any tax exemptions in other countries.
Under certain circumstances, you may have the right to deductions and allowances.
See further information on the website of the Danish tax authorities (the Danish Customs and Tax Administration) or contact the Danish tax authorities (the Danish Customs and Tax Administration).
Fellowships offered by Aarhus University are automatically declared to the Danish tax authorities (the Danish Customs and Tax Administration). You do not need to do anything but will be informed automatically about whether your fellowship will be taxed or not.
Contact the scholarship provider if you receive a fellowship from a Danish foundation or other Danish sources (not Aarhus University sources). The foundation can inform you about whether you need to declare the fellowship or not.
Fellowships offered by non-Danish foundations must be declared to the Danish tax authorities (the Danish Customs and Tax Administration). You have to declare the fellowship income as “B-income” in your preliminary tax assessment of income. You can declare the fellowship in your online, personal tax-folder at the Skat.dk website (only possible if you have registered at the Danish Customs and Tax Administration in Denmark) or contact the tax authorities (the Danish Customs and Tax Administration).
If you are an employed researcher at Aarhus University, you may be liable for the special tax scheme for foreign researchers. On this scheme, researchers pay only a 26% flat tax and an 8% labor market contribution.
Read the main conditions to be on the special research taxation scheme
The local HR-departments handle applications for the research taxation scheme.
If you do not fulfill the conditions for the researcher taxation scheme, you must contact the Danish Customs and Tax Administration to have information about your personal tax in relation to your stay in Denmark. The AU HR-departments do not guide you in personal tax matters.
You need to fill out form 04.063 (online version recommended) on the the Danish Customs and Tax Administration website to sort out your tax situation.
If you receive a scholarship and are not employed in Denmark, you may not need to register for tax.
Contact the Danish Customs and Tax Administration directly to find out whether you need to register or not.