Some of the tax deductions and allowances to which you are entitled will automatically be included on your income assessment. However, you must report certain deductions and allowances yourself on your preliminary income assessment and income tax return. Note that even though some deductibles are included on your income assessment, you are still required to check that the information listed is correct and report any discrepancies to SKAT. You can see where on your income assessment your deductibles are listed on SKAT’s example of a preliminary income assessment of 2009.

The general idea behind some of the allowances and deductions are that people should only pay tax on disposable income. You are, for example, entitled to deduct expenses if you:

• Travel more than 12 kilometres in each direction between your home and work.
• Pay a membership fee to a trade union and/or an unemployment insurance fund.
• Make payments to a private pension scheme.
• Pay interests expenses.

For more examples of allowances and deductions, see the leaflet Tax in Denmark – An introduction for new citizens, and on Work in Denmark’s website. 

You are entitled to tax allowances and relief on the contributions you pay into an approved pension plan or plans. However, in order to qualify for the allowances on, and deductions from, payments toward a pension plan, the plan must be approved by SKAT Read more about how to get your pension plan approved on SKAT’s website.

Learn more about the Danish tax system concerning pension plans in SKAT’s guides:  Tax and pension plans - for those with a pension plan in Denmark or another EU or EEA member state and Tax and pension plans - for migrant workers who come to Denmark from another country to work.

A wide range of information is available on SKAT’s website: www.skat.dk.

More information on allowances and deductions is to be found in SKAT’s leaflet Tax in Denmark, An introduction – for new citizens. You will also find some information regarding allowances and deductions in SKAT’s guide ”About tax – for people resident abroad and working in Denmark”. The guide is intended for individuals from other countries coming to Denmark to work for a limited period of time. The guide explains how to obtain a tax card, how tax is deducted from your income and which allowances and deductions you are entitled to.

Further information about the Danish tax system in relation to pension plans is available in SKAT’s guides: Tax and pension plans - for those with a pension plan in Denmark or another EU or EEA member state and Tax and pension plans - for migrant workers who come to Denmark from another country to work.

If you have any questions you can always call SKAT on telephone +45 72 22 18 18.

You will also find some information about tax in Denmark on Work in Denmark’s website.