What is important to know about your tax cards in Denmark?

There are two different tax cards.

According to SKAT, a tax card “is the collective name for the tax exemption card, primary tax card, and secondary tax card“. It’s also a part of your preliminary income assessment. We will explain what the tax exemption card, primary tax card and secondary tax card are.

In Denmark, adults have a personal allowance of 44.000 DKK. The tax exemption card (“frikort”) is a tax card allowing you to earn 44.000 DKK tax-free. On SKAT’s homepage you can distribute your personal allowance monthly. In that way, you’ll get a smaller monthly tax rate.

Primary tax in Denmark is the amount of tax you pay of your primary income including salary, pension, SU, unemployment benefits, etc. You’ll be taxed from your income automatically. On your monthly paycheck, you can see how much tax you have payed out of your salary. It’s your responsibility to inform your employer if they should use your primary tax card (“A-tax”) or secondary tax card (“B-tax”).

Secondary tax in Denmark is if you have another income such as freelance work. This is not automatically deducted from your salary. You must manually report it to SKAT through their homepage. You can either change the amount of “B-tax” in your preliminary income assessment, or you can pay it directly with your payment card on their homepage.

If your employer accidentally uses the wrong tax card, you must contact your employer. They have to receive the correct tax card electronically from SKAT.

To estimate your monthly salary after tax, you can use SKAT’s calculator. Type in your monthly salary at “Indtægt per måned”, your tax rate at “Trækprocent” (approximately 37% depending on where you live) and your monthly deduction at “Månedsfradrag”. You can find your monthly deduction at your preliminary income on SKAT’s homepage. 

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