Proposal for new strategy on entrepreneurship in Denmark

Published 28 June 2024

PrintCategory: Taxation / VAT

As set out in Pulse update on 13 June 2024, the Danish government has presented a proposal regarding entrepreneurship in Denmark, which includes initiatives aimed at creating better access to capital for startups, cutting the burden of red tape on business and certain relaxation of taxes. In addition to the key points set out in the Pulse update on 13 June 2024, other material points in the proposal are:

  • Legalisation of crowd funding for Danish private limited liability companies (in Danish: anpartsselskaber),
  • Relaxation of shareholder loans to the effect that, where a loan is paid out, repaid and paid out again, the shareholder will only be taxed once (of the highest drawn amount),
  • Reduction of the minimum share capital requirement for private limited liability companies from DKK 40,000 to DKK 20,000,
  • Introduction of an overview of deadlines and requirements for entrepreneurs at “Mit Virk”, including deadline and status of ongoing cases with public authorities,
  • Expansion of the right to daily allowance (in Danish: dagpenge) by allowing newly started self-employed persons to use previous salary as basis for earning and calculating daily allowance, and
  • Introduction of a triviality limit of 3.5 hours á week for self-employed persons with respect to maternity/paternity leave allowing them to handle basic matters during the maternity/paternity leave without deduction of maternity/paternity pay.

The Danish government’s proposal can be found here.

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