Denmark - Exemption from Danish tax related to salary earned abroad is now abolished

Global Watch ()

Section 33A of the Danish Tax Assessment Act (Section 33A) was introduced in 1975 to improve opportunities for export by making it fiscally advantageous for eligible persons to work abroad. Specifically, this provision granted tax exemption from Danish tax related to salary earned outside of Denmark by persons with full Danish tax liability. Recently agreed tax reform designed to reduce growing unemployment in Denmark has abolished Section 33A, thereby potentially increasing costs connected with overseas assignments of the Danish mobile work force.