- Danish Customs and Tax Administration clarifies permanent establishment rules under the 1995 DTA and 2020 protocol with Germany
- A German company planned to convert a Danish subsidiary into a sales agency
- The company sought clarification on whether this change would establish a PE in Denmark for VAT purposes
- The Tax Agency found that the change would not establish a PE for the German company
- The Tax Council was unable to confirm the decision
- On appeal, the National Tax Court confirmed that the German company wouldn’t establish a PE in Denmark under the agent rule
- The German company is not required to register for VAT in Denmark.
Source: news.bloombergtax.com
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.
Latest Posts in "Denmark"
- Director Sentenced for VAT Fraud: 1-Year Suspended Sentence and 650,000 DKK Fine
- Municipalities Denied Electricity Tax Reimbursement for Street Lighting Due to Lack of VAT Deduction Rights
- Bill Proposal: Amend VAT Exemption Rules for Education of Youth Under 30 by Ministry of Taxation
- Danish Court Upholds VAT on Imported Electric Vehicle as New Means of Transport
- Court Upholds Tax Authority’s Assessment of VAT on Bank Deposits for Tattoo Services
