Denmark increases control over foreign online sellers

Denmark will know the value of sales made by each online seller by looking at credit card statements.

31 July, 2019


Danish tax authorities are now able to see credit card information from Danish clients buying goods from online sellers. This information would be reconciled against tax obligations of these distance sellers, so that tax authorities can easily track if a VAT registration is done on time and if VAT is being accounted correctly on all sales reported by distance sellers in Denmark. The focus of this initiative will be on foreign EU and non-EU distance sellers selling their goods in Denmark.

Danish authorities can go back to 1 September 2017 on the information tracked from credit card statements, so these new surveying powers will most likely give rise to regularizations and historic tax inspections on foreign distance sellers.

These changes follow the trend initiated by the UK that consists on extending to third parties the obligations of online sellers. France and Italy have both implemented similar measures.

What should you do next?

If you are selling your products online in Denmark via Amazon, Ebay or your own website, it is important that you double check if you have met the obligation to register for VAT in the country. If you are already registered, you should review your date of registration and all sales reported historically to ensure that you are fully compliant with Danish VAT rules. Higher penalties will apply when regularizations are not done voluntarily.

Marosa can help you getting registered in Denmark and regularizing all historic periods. Please contact us to know more about our services and competitive proposal.


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