When you pay salaries or fees to your employees, you have to report it to us. These reports go to the E-income register. This register holds information about the income (salaries, state education grants, daily benefits and pension benefits) of all Danes.

More than 150 authorities use E-income to pay out benefits, grants, etc. Before you do your reporting, you should pay special attention to the pay period and the date the money will be available (payment of salary). Please read more under Before you do your reporting 

The Danish Parliament (Folketinget) has passed an aid package for corona-hit businesses

As a result, the deadline for paying A-tax and labour market contributions are extended for the months of April, May and June 2020.

Please read more at www.skat.dk/corona-aid 

On this page you can read more about:

  • What to pay attention to before you make your report
  • How you make your report
  • Your deadlines
  • What you need to report
  • What to do if you do not pay out salary for a month

If you are a new employer, you can read more at Hiring your first employee

Log on and report the pay of your employees

Please pay attention to the following before you do your reporting

  • the pay period
  • the date when the money will be accessible (payment date)

Pay period
Your employee accrue his salary in the pay period. However, the pay period is not always a calendar month. Numerous hourly-paid employees have a pay period from the 20th of one month until the 19th of the next.

Payment date
The payment date is the day when the salary is available to your employee. The payment date decides which month your reporting relates to

and it also decides the tax year of your employee.

Example
If your employee is paid twice in the same calendar month, it could have effect on his private financial situation. He may also not be elegible for certain public benefits, housing benefit or free daycare for example. He may also risk getting an incorrect tax assessment notice resulting in outstanding tax.

Therefore, be particularly careful to do your reporting on time - especially at the end or at the beginning of a year. Remember, that payroll agencies or accountant may have short deadlines.

You can choose to do the reporting to us yourself or have an accountant or a payroll agency do it for you.

You will find a step-by-step guide in Danish Få og giv adgang til eIndkomst (Gain and give access to E-income) under Ansatte (employees) in E-tax for businesses.

Apart from reporting directly into E-income in E-tax for businesses, you can also report in the following ways:

E-income

You can do your reporting directly in E-income in E-tax (TastSelv) via online reporting (separately) or via a file. Please find a Danish step-by-step guide on how to use E-income under 'Ansatte' (Employees) in E-tax for businesses.

Own payroll system

You can report salary information via files from a payroll system on your computer.

 

Payroll agency

Often, the payroll bureau will take steps to gain the necessary access to report on your behalf. You can, however, give the bureau access via E-income in E-tax for businesses. For more information, please check with your payroll bureau.

Accountant

You can authorise an accountant/a firm to report on your behalf in E-tax for businesses. An authorisation will give the accountant the same access as you (the business required to report) have.

You can use the programme eIndkomst-indberetning  (E-income reporting) to generate files to upload to E-income. Download reporting programme for E-income.

E-payroll (Letløn) is a calculation program under E-income. After signing up, it helps you calculate your employees’ A-tax, labour market contribution (am-bidrag), supplementary labour market pension (ATP) and holiday pay.

 The size of your business, whether it is considered a large or small/medium sized business, is central to when you will have to pay A-tax and labour market contributions.

If:

  • your business labour market contribution exceeds DKK 250,000 and/or your A-tax exceeds DKK 1 million within a year, it is considered a large business.
  • your business labour market contribution is less than DKK 250,000 and/or your A-tax is less than DKK 1 million within a year, it is considered a small/medium sized business.

Late October is the time to check if you have new deadlines


If the status of your business is changing, you will be given both new reporting deadlines and new payment deadlines. You have to remember to enter the new deadlines in you payroll system. If your business reports pay via a payroll bureau, you need to inform the payroll bureau of any new deadlines.

If you are unsure of how your business is registered, you can see whether it is registered as a large or small/medium sized business from your registration certificate. Please find the certificate in E-tax for businesses (TastSelv) under 'Profil' (Profile), 'Profileoplysninger' (Profile data), 'Registreringsbevis' (Registration certificate). 

When you pay out salary to your employees, you need to pay attention to the following three things:

1. Withhold A-tax and labour market contributions from the salary
You need to withhold A-tax, labour market contribution (am-bidrag) and supplementary labour market pension (ATP) when you pay the salary to the employee. This also applies to on account remunerations, advance payment etc.

2. Report salary information to the Tax Agency
Salary information includes A-income, holiday pay, working hours, labour market contribution, ATP and salary.

3. Pay A-tax and labour market contributions to the Tax Agency
When you have made your report, E-income automatically calculates the total amount that you will have to pay in A-tax and labour market contribution for the month. Please find the amount in E-tax for business (TastSelv) under 'Skattekontoen Stamoplysninger' (Tax Account, Personal data).

All employers have to report pay for their employees each month. If you do not pay out a salary one month, you still have to do the reporting to E-income. You do so by making a so-called zero entry.

If you use a payroll agency to pay out salaries, you will either have to ask the agency to make a zero entry or do it your self.

Likewise, if you have registered as an employer in the middle of a month and you do not have to pay any employees that month, you should also make a zero entry.

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