Freelancing in Denmark: registering an enkeltmandsvirksomhed, the DKK 50,000 VAT threshold, and taxes
A Denmark freelancer registers a sole trader via virk.dk to get a CVR number, registers for VAT (moms) once sales pass DKK 50,000, and files tax through TastSelv Erhverv. Denmark is largely tax-funded, so there are no separate self-employed social contributions beyond the 8% labour-market contribution.
This article is general information, not tax advice. Regulations change — verify the current rules with the official sources below before acting.
Freelancing in Denmark usually means running an enkeltmandsvirksomhed (sole trader), and the whole setup runs through the government business portal virk.dk.
Registration, in order
You register the enkeltmandsvirksomhed via virk.dk (the Danish Business Authority), which issues your CVR number. You also register for VAT through virk.dk when required, and you handle your tax through TastSelv Erhverv on skat.dk.
The DKK 50,000 VAT threshold
You must register for VAT (moms) when your sales exceed DKK 50,000, about €6,700, over any 12-month period. The standard VAT rate is 25%. Below the threshold registration is optional; once you cross it you charge VAT, file periodic returns, and recover input VAT.
Income tax and social contributions
Sole-trader profit is taxed as personal income on the progressive scale, reaching up to about 57% — roughly 60% once the 8% labour-market contribution (AM-bidrag) is included. An optional Virksomhedsordning (business tax scheme) lets you retain profit in the business at a lower rate and smooth the tax across years, which can suit reinvesting freelancers.
On social contributions, Denmark is largely tax-funded: there are no separate self-employed social contributions in the continental sense. The 8% AM-bidrag is the one earmarked levy, and it sits inside the overall tax burden rather than as a stand-alone premium.
General information about freelancing in Denmark, current as of the review date above, and not tax advice. Thresholds and rates change — confirm current figures with SKAT, the Danish Business Authority, or a qualified revisor.
Frequently asked questions
What is the VAT threshold in Denmark?
You must register for VAT (moms) when your sales exceed DKK 50,000, about €6,700, over any 12-month period. The standard VAT rate is 25%. Below the threshold registration is optional; once you cross it you charge VAT, file periodic returns, and recover input VAT.
Do the Danish self-employed pay social contributions?
Denmark is largely tax-funded, so there are no separate self-employed social contributions in the continental sense. An 8% labour-market contribution (AM-bidrag) applies to income, and it is baked into the overall tax burden rather than billed as a separate social premium.