British nationals who want to work in Denmark

British nationals who have not registered in Denmark for tax purposes and obtained a residence permit by 31.12.2020 will be subject to the following conditions in order to work on Danish territory from 1.1.2021:

A) Work permit

Each individual must request and obtain a work permit in order to work in Denmark. That is relevant for British individuals no matter whether they are employed or self-employed. For individuals who are employed in a British company having a Danish subsidiary, they will be subject to a so-called fast track relocation to Denmark under certain conditions, if they are needed in the Danish organisation.

For individuals who want to work in Denmark for a Danish employer (and not being employed by a UK company in the group before moving to Denmark) they can only obtain a work permit, if their salary exceeds approx. 37,084 DKK per month to be paid by the Danish employer. They must fill in a special form with all relevant information including their working contract and personal data in order to obtain a work permit. When they have obtained the work permit, the residence permit will typically be issued without further problems after they have requested the residence permit and obtained a tax identifications number and stated their official address (either in the UK or in Denmark).

For self-employed it is more than difficult to open their business in Denmark, since this will only be possible, if their business is approved by a special Danish committee. Permission will only be granted, if the business looks innovative and with substantial value for the Danish society.

A British citizen can easily open a Danish limited liability operating company, but can only work for this, if he/she obtains a working permit.

B. Social security

All British citizens will have to leave their UK social security and pay Danish social security contributions from day one.

C. Income taxes

Income tax issues are not influenced by the Brexit, and UK nationals will have to pay Danish income taxes in accordance with Danish tax rules and the double taxation treaty between UK and Denmark.

Do you need help?

We can assist on the above issues and we can also set up a Danish limited liability company to employ individuals and hire them out to Danish customers, if the number of individuals to be working in Denmark reaches a number of at least 5-10 individuals during 2020.

You can get more information by writing to info@inwema.dk. Read more at danishtaxreturn.dk

Read more about the new situation for Brits in Denmark here