Denmark VAT Calculator

About VAT in Denmark

Calculate Danish VAT (merværdiafgift, moms) on any amount in Danish kroner (DKK). Denmark applies a single flat 25% rate on virtually all goods and services — no reduced rates, just a few zero-rated supplies.

How to calculate Denmark VAT step by step

VAT in Denmark is a consumption tax charged on top of the net selling price. The standard rate is 25%, which means the gross (tax-inclusive) price equals the net price multiplied by 1.25. Whether you are issuing an invoice, checking a supplier bill, or pricing a product for your shop, two formulas cover every situation:

Worked example — adding 25% VAT

A Denmark freelancer invoices a domestic client DKK 100.00 for a consulting hour. Applying the standard rate:

• Net amount: DKK 100.00
• VAT at 25%: DKK 100.00 × 0.25 = DKK 25.00
• Gross invoice total: DKK 125.00

Worked example — removing 25% VAT

A receipt from a Denmark supplier shows DKK 1,000.00 including VAT. To reclaim input VAT you need the net base and the tax amount separately:

• Net base: DKK 1,000.00 ÷ 1.25 = DKK 800.00
• Deductible VAT: DKK 200.00

The calculator at the top of this page does both directions instantly — switch between "Add VAT" and "Remove VAT" and pick the rate that matches your invoice line.

Cross-border B2B sales and the reverse charge

When a VAT-registered business in Denmark sells goods or services to a VAT-registered business in another country, the invoice is usually issued without Denmark VAT under the reverse-charge mechanism. The customer then self-accounts for VAT at their local rate and, in most cases, deducts it on the same return — the net cash impact is zero, but the paperwork has to be correct.

To zero-rate a cross-border B2B sale you must:

• Obtain and validate the customer's foreign VAT number before issuing the invoice. EU numbers can be checked free with our VIES VAT number validator.
• Mention "Reverse charge" (or the local equivalent) and the legal basis on the invoice.
• Keep evidence of transport for goods (CMR, freight invoice, courier proof) or proof of the customer's business status for services.
• Report the supply in your periodic VAT return and, for EU customers, in the EC Sales List / recapitulative statement.

Selling online — distance sales, OSS and IOSS

For B2C e-commerce inside the EU, the EU-wide €10,000 distance-sales threshold applies. Once your cross-border sales to consumers exceed €10,000 in a calendar year, you must charge VAT at the customer's rate instead of the Denmark rate. The simplest way to comply is to register for the One Stop Shop (OSS) in Denmark and file a single quarterly return covering all EU countries.

For goods shipped to EU consumers from outside the EU with an intrinsic value of €150 or less, the Import One Stop Shop (IOSS) lets you charge VAT at checkout instead of at customs — which prevents the buyer being hit with unexpected import charges on delivery. Digital services (downloads, SaaS, streaming) follow the same destination-based rules and are also reportable through OSS.

Invoice and record-keeping requirements

A compliant Denmark VAT invoice should include:

• A unique sequential invoice number and the issue date.
• Full name, address and VAT identification number of the supplier and the business customer.
• A clear description of the goods or services supplied and the quantity.
• The net amount per VAT rate, the rate applied, and the VAT amount in DKK.
• The total gross amount payable.
• Where relevant: "Reverse charge", "Exempt", margin-scheme wording, or the cash-accounting note.

Most tax authorities require invoices, accounting records and supporting documents to be kept for at least 10 years in a format that stays legible and auditable. Cloud accounting tools that issue invoices in sequence and store PDFs alongside the underlying ledger entry usually satisfy this requirement out of the box.

Common Denmark VAT mistakes to avoid

• Applying the wrong rate. Reduced rates only cover the specific categories listed by the tax authority. When unsure, default to the standard 25% rate and document the reasoning for the line you reduced.
• Not validating a foreign VAT number. If the buyer's number is invalid on the day of supply, the tax authority can assess local VAT years later — and you cannot usually recover it from the customer.
• Rounding the VAT amount incorrectly. Round the VAT total per invoice or per line, not the rate itself. Always round to the nearest cent (or smallest currency unit), not down.
• Missing the reverse-charge wording. An invoice without the required mention can be rejected by the customer's auditors and force a re-issue.
• Treating gross prices as net. When a price advertised to consumers already includes VAT, your taxable base is the gross divided by 1.25 — not the displayed amount.