In- and outposting covers situations where an employee is either sent abroad by a Danish employer (outposting) or comes to Denmark to work for a Danish company (inposting). There are special rules for tax, social security, and reporting for both the employee and the employer.
Frequently Asked Questions About In- and Outposting
What is in- and outposting?
In- and outposting covers when an employee is either sent abroad by a Danish employer (outposting) or comes to Denmark to work for a Danish company (inposting).
What are the tax rules for in- and outposting?
The tax rules depend on whether the employee is considered tax resident in Denmark or abroad. Danish tax liability is determined by whether the employee has a home or stays in Denmark for more than 183 days within 12 months. Double taxation agreements determine whether tax must be paid in Denmark or abroad.
What must the employer do?
The employer must report the posting to the Danish Tax Agency and possibly to authorities in the other country. There may also be obligations regarding social security, A1 certificate, and withholding of tax.
What should the employee pay attention to?
The employee must make sure to report all income correctly and be aware of rules on tax-free allowances, per diems, and travel deductions. Errors can result in extra tax, fines, or loss of social security rights.
How can SkatteInform help you?
SkatteInform can help you clarify tax and social security status, ensure correct reporting and documentation, and advise on double taxation agreements and optimal solutions.
Disclaimer
As the above is for guidance purposes only, we accept no liability for decisions that may be made based on the above without prior individual advice. We accept no liability for errors and omissions.
