Denmark to Abolish VAT on Books by 2027

Latest Update: The Abolition of VAT in Books Is Expected to Take Effect From 2027

The Danish Ministry of Taxation and Economic Growth confirmed that the government is re-submitting the bill as part of a wider package of budget measures, as the original proposal to abolish VAT on books lapsed after Denmark's general election, subject to the bill being passed by parliament.

According to the official announcement, the abolition of VAT on books is now expected to take effect from 2027, subject to the bill being passed by parliament. The same bill also abolishes the Danish coffee tax.

The Danish government has announced a bold step to promote reading and improve access to literature. As part of its 2026 budget bill, it will propose abolishing the 25% VAT on books, currently the highest book VAT in the world.

Why Is Denmark Planning to Cut VAT on Books?

Denmark faces a growing “reading crisis”, with fewer children and young people regularly reading books. To reverse this trend, the government wants to make literature more affordable while also investing in education and libraries.

Culture Minister Jakob Engel-Schmidt confirmed that the proposal will be included in the upcoming budget.

Take a look at the VAT rates in Denmark.

How Denmark Compares to Other Nordic Countries

Although Denmark, Sweden, Finland, and Norway all apply a standard VAT rate of 25%, books are treated differently in each country:

• Denmark: 25% (abolition planned for 2027)
• Finland: 14%
• Sweden: 6%
• Norway: 0%

Sweden reduced its VAT on books to 6% in 2001.

The VAT abolition is only part of Denmark’s broader reading initiative. The government is also providing more funding for school libraries and librarian positions, ensuring that children are introduced to books early on.

Discover our overview on VAT rates in Europe.

Looking Ahead

While it is unclear exactly how much book prices will fall, the minister expects reductions to match the abolished 25% VAT. He dismissed concerns that publishers might keep prices high, stressing that the government will closely monitor market behavior. If the reform only boosts publisher profits without lowering prices, he said, the policy will need to be reconsidered.

Denmark’s decision could reshape the Nordic book market and set an example for other EU countries with high VAT rates. The success of this reform will depend on whether it truly makes books more accessible and helps foster a new generation of readers.

At Marosa, we are closely monitoring this upcoming VAT rate change in Denmark. Once the measure is formally adopted, we will confirm its implementation and provide updated guidance to businesses affected by the reform.