Here, you have an overview of what you should pay special attention to when you deregister your business for VAT and file your last VAT return.

Read more in Danish about closing your business and deregistering for VAT and A-tax.

You need to calculate your VAT and file your VAT return until the day you stop having business activities subject to VAT. This also applies if you have not had any activities and you have to file a zero VAT return (nulindberetning), meaning that you file a VAT return of DKK 0.

If you settle your VAT quarterly and you have deregistered your business for VAT on 10 April, for example, your last VAT settlement period will be 1 April - 10 April of the second quarter.

If you settle your VAT every six months, your last VAT settlement period will be 1 January - 10 April of the first six months if you deregistered your business on 10 April. 

If you have a personally owned business that is only registered for VAT (and not A-tax or excise duties, for example), you should be aware that your business CVR no. is automatically cancelled when you deregister for VAT.

If you settle your VAT quarterly, you should meet the ordinary deadlines when you file your last VAT return. This means that if, for example, you deregister your business for VAT on 10 April, you can file your VAT return from 1 July and until 1 September.

If you settle your VAT every six months and you deregister your business for VAT within the first three of the six months, 10 January for example, you can file your VAT return as soon as the first quarter is over, in this case from 1 April until 1 June. If, however, you deregister your business in the last three of the six months, 10 April for example, you cannot file your last VAT return until after 1 July and no later than 1 September.

Log on to e-tax for businesses and file your VAT return 

As usual, you cannot pay your VAT until 5 days before the payment deadline. If you want to make your payment before, you can set up your payment via online banking to be paid some time from five days before the payment deadline and until the deadline.

Remember to always file your VAT return. If you had no activities in the period up to the day you close your business, you have to file a zero VAT return (nulindberetning).

Please note that the deadlines for filing your VAT return and paying your VAT may be changed due to the coronavirus.

Read more about payment and deadlines.

File your VAT return to avoid a fee

Please note that if you do not file your VAT return for a period, we will make an estimate of your VAT for that period. And you should also check earlier periods for which you have not filed a VAT return. We will also estimate your VAT for such periods. This is what we call VAT based on an estimate (foreløbig fastsættelse). We will charge your business accordingly unless you file a VAT return with the correct amount.

If we have to make an estimate of your VAT we will charge a fee of DKK 800. Your business will be charged this fee, no matter if you subsequently file a VAT return and pay the correct amount of VAT.

When we have estimated your VAT, you will subsequently have to log on to E-tax for businesses and replace our estimate with the correct VAT amount. You do so under ‘Indberet moms’ (File your VAT return). This is also where you check to see if you have filed your VAT return for all periods.

If you are unsure of how to file your VAT return, you can read more about filing your VAT return in E-tax for businesses.  

What you have to include when you file your last VAT return varies greatly from business to business depending on the future of your business. Special rules apply if you are selling your business entirely or only partly. And if you close your business completely and sell goods and assets or remove them for private purposes, then other rules apply. This guide primarily focuses on what you have to do when you close your business. However, you can also read about what you have to pay special attention to if you are selling your business entirely or partially.

Log on to E-tax for businesses to file your VAT return 

Selling all or some of your business

If you sell all your business or an independent part of it, we also call this a transfer of business. You are not entitled to charge VAT when you transfer all or part of your business. However, if you do transfer all or part of your business, you should state the selling price of your inventory, machinery, services and facilities at www.virk.dk when you deregister your business for VAT. Please also state the name and CVR no. of the buyer.

In order to qualify as a full or partial transfer of business, the sale has to include tangible assets such as inventory and machinery and possible intangible assets such as production rights. Combined, this should form the basis of the operation making it a business. Moreover, the buyer must want to continue running the business subject to VAT. 

If the selling price of the assets (such as machinery and vans) exceeds DKK 100,000, the assets are considered capital goods. Please note that special VAT rules apply to capital goods. This means that certain situations may require that you refund VAT that you deducted when you bought the capital goods (a van for example). This is called a VAT adjustment obligation.

Read more about the rules of deduction for VAT on capital goods.

Closing your business without selling it

If you are selling all or a part of your business, it may be a good idea to have an accountant or other professional help you do that. Please call us on ( 45) 72 22 28 67 if you have any questions about selling your business or about capital goods.

Below, we will guide you through what you need to pay attention to when you file your last VAT return in relation to inventory, machinery and services, for example. 
These rules apply when you are entitled to the full deduction. Please note that if you were only entitled to a partial deduction when you bought your inventory, machinery and services for your business, other rules apply. You can call us on ( 45) 72 22 28 67 if you have any questions about the rules applying to partial deduction.

Inventory

If you sell all or part of your business inventory, you always have to charge, file and pay VAT on goods you sell. 
If, on the other hand, you remove inventory for private use, you have to repay the VAT on the goods on which you originally deducted VAT when you purchased them. You calculate the VAT based on the price of the goods when you purchased or produced them.  

Machinery, computers, telephones, etc.

If you sell capital goods of your business, such as machinery, computers or telephones, you should always charge, file and pay VAT on the goods you sell.
If, on the other hand, you remove goods, such as a computer, to yourself within five subsequent accounting years after you bought it, you should repay the part of the VAT that your business originally deducted when you bought the computer. If you remove the computer for private purposes within the same accounting year as you bought it for your business, you will have to repay the entire VAT amount. 

Example:
You bought a computer for your business in 2017 for DKK 10,000. (DKK 8,000 VAT of DKK 2,000) and you claimed a full VAT deduction of DKK 2,000. If you want to keep the full VAT deduction of DKK 2,000, the computer must have been used for business purposes for five subsequent accounting years at the time you close your business. This means from 2018 to 2022. If you remove the computer for private purposes in 2020 as you want to close your business, you have to repay the VAT amount. As the computer has only been used for business purposes in accounting years 2018-2020, you will have to calculate the deduction for the remaining two years. VAT is calculated based on the value of the computer, which is reduced by 20% each of the five years. As the computer has not been used for business purposes in two of the five years, you will have to repay 40% of the deduction of DKK 2,000. This means a total of DKK 800. You should declare this amount as output VAT when you file your last VAT return. You can also see the same example in the below table:

Example of sale of computer when a business is closed
Note Year of purchase 1st accounting year 2nd accounting year 3rd accounting year 4th accounting year 5th accounting year
The years the business has owned the computer as it was bought in 2017 2017 2018 2019 2020 2021 2022
Calculated value of the computer (exclusive of VAT) DKK 8,000 DKK 6,400 DKK 4,800 DKK 3,200 DKK 1,600 DKK 0
VAT to be repaid if the computer is removed for private purposes DKK 2,000 DKK 1,600 DKK 1,200 DKK 800 DKK 400 DKK 0

Read more about how you calculate the VAT on goods or assets (VAT on self-supply) that you remove for private purposes.

If you have bought a machine, a van or similar for more than DKK 100,000 (exclusive of VAT) and you sell it or remove it for private purposes, it is considered capital goods. Read more about capital goods below on this page.

Services

Services could include copyrights or patents. If you provide a service, you should always charge VAT, file a VAT return and pay your VAT.
If you remove services for less than DKK 100,000 for private purposes, you are required to repay the entire VAT amount if your business deducted the VAT when you bought the services. You calculate the VAT based on the price of the services at the time of purchase. 

Please call us on ( 45) 72 22 28 67 if you have any questions about VAT on services.

Real property

If you want to sell real property on behalf of your business or if you want to take over real property, you can call us on ( 45) 72 22 28 67 if you are unsure of the VAT rules in this case. 

Other capital goods

If you have bought a machine, a van, rights or similar goods or services for more than DKK 100,000 (exclusive of VAT) and you sell or remove it for private purposes, it is considered capital goods. Please note that special VAT rules apply to capital goods.

Read more about the rules for deduction of VAT on capital goods.

For personally owned businesses

If you have a personally owned business and you find that you no longer have access to E-tax for businesses, you have to log on using your personal NemID/MitID. As your business CVR no. was cancelled, you have to select ‘Fortsæt som privatperson’ (Continue as an individual) and not ‘Fortsæt som virksomhed’ (Continue as a business)  
If you still have problems logging on, please call us on ( 45) 72 22 38 04 00. 

For companies

If you own a company and you find that you can no longer access E-tax for businesses using your NemID/MitID, please call us on ( 45) 72 38 04 00. 

For partnerships (I/S)

If you have co-owned an I/S, you cannot log on to E-tax for businesses using your private NemID/MitID or your NemID employee signature. In stead, you have to order an E-tax password. We will send the E-tax password to the registered business address so please make sure that this address is still correct.

If you want to change the address, you write to us and request a change of address before you order a E-tax password. You can write to us via E-tax for individuals -> 'Kontakt' (Contact) -> 'Skriv til os' (Write to us) -> 'Start af virksomhed' (Starting a business) -> 'Registrering af virksomhed' (Registering a business).

You have to keep your business accounts and vouchers for five years. This also applies if you have closed your business.

If you have bought real property or renovated premises in relation to your business, you should keep your accounting records for ten years after you have bought the property or made the renovation.