If you trade beyond Danish borders, the VAT rules depend on whether you trade in goods or services and whether you trade with businesses or private individuals. You are required to calculate and pay Danish VAT on goods and services purchased abroad. You have to keep special accounts in your business accounts and report the information about your purchases.

Report EU purchases on your VAT return

Inform the seller of your VAT number to avoid being charged VAT on the invoice. Your VAT number is “DK” plus your 8-digit CVR no. (business reg. no.) or SE no. (VAT no.).

If the seller has added his own EU country’s VAT to the price, you still have to calculate and pay 25% Danish VAT on the invoice amount. You should subsequently contact the seller and ask him to repay the VAT he charged by mistake.

Report the VAT amount on your VAT return in the field ‘VAT on goods purchased abroad’ (both the EU and third countries) or ‘VAT on services purchased abroad subject to a reverse charge’. The amount will be added to the total amount you have to pay. Normally, you can deduct the VAT as input VAT at the same time.

You should report the value of your purchase of goods from other EU countries in box A - ‘goods’  on your VAT return. 

You should report the value of your purchase of services from other EU countries in box A - ‘services’  on your VAT return.

Report your international trade

You have to calculate and pay Danish VAT on goods or services purchased in the EU even if your business is exempt from VAT. 
If your business is not already registered for VAT, you will have to do so in order to pay VAT. If it is not registered, you cannot deduct the calculated EU acquisition  VAT as the purchase relates to an activity exempt from VAT.

You do not have to pay VAT if you are not registered for VAT and purchase goods in other EU countries for less than DKK 80,000 a year.

If you purchase services abroad, you usually pay VAT regardless of whether you are already registered for VAT and irrespective of the price of the purchase.

You do not have to calculate and pay Danish VAT if you purchase the following services abroad:

  • services related to property not located in Denmark, including hotel stays in other EU countries

  • passenger transport

  • tickets to cultural, arts, sports, scientific, training and entertainment events, and so on.

  • services provided by restaurants or catering businesses

  • short-term hiring of means of transport

    You do not have to pay Danish VAT if you purchase the following services abroad and primarily use the service outside the EU:

  • sale of rights

  • advertising

  • consultancy services

  • negative obligation (non-competition clauses, etc.)

  • banking, financing and insurance activities, except for hiring of safe-deposit boxes

  • hiring of labour

  • hiring of movable tangible property

  • transport and transmission of gas, electricity, heat and cold

 

Please see our legal guide (in Danish) for further legal information.