Library Remuneration and Royalties to Authors Are Exempt from VAT, Tax Council Confirms

• Library payments (bibliotekspenge) received by authors are not subject to VAT.
• These payments are not considered remuneration for a supply by the author.
• Royalties/honoraria from publishers are also VAT-exempt under Danish VAT law § 13, stk. 1, nr. 7.
• The author retains copyright, only granting publishing rights to the publisher.
• Royalties are mainly based on actual sales, and the arrangement is considered a VAT-exempt licensing of copyright.

Source: info.skat.dk

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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