Danish payroll withholding is not always the final tax answer when an employee receives salary from a Danish employer but performs work outside Denmark.
Last updated: June 2026
Many employees receive salary from a Danish employer while performing some or most of their work outside Denmark. This can happen when an employee is posted abroad, works on a foreign client project, moves back to their home country while staying on Danish payroll, or spends a longer period working remotely from outside Denmark.
In short: Danish employer work abroad tax is not only a payroll question. It is also a question of tax residence, physical work location, treaty rules, documentation and the correct reporting to Skattestyrelsen.
In many cases, payroll continues as usual. The Danish employer pays the salary, reports the income, withholds A-tax and AM-bidrag, and the employee receives a Danish payslip.
But payroll withholding is not always the final tax answer.
When work is performed outside Denmark, the final tax position may depend on where the employee is tax resident, where the work is physically performed, how long the foreign work period lasts, whether the foreign country can tax the salary, whether foreign tax has been paid, and whether a double taxation agreement applies.
This article explains the issue in practical terms for employees and Danish employers. It also highlights when Danish A-tax already withheld through payroll may need to be reviewed.
Why Danish payroll may not tell the full story
A Danish employer will often process salary under ordinary Danish payroll rules. For many employees, that means Danish A-tax and AM-bidrag are withheld through payroll and the salary is reported in Denmark.
That may be correct for ordinary Danish employment. However, cross-border work adds another layer. The location where the employee physically performs the work can matter. The employee’s tax residence can matter. The double taxation agreement between Denmark and the work country can matter. Danish tax relief rules may also become relevant.
In other words, a Danish payslip may show Danish tax withholding, but the final tax treatment may still need review.
Practical point: if the employee physically works outside Denmark for a longer period, the payroll setup should be checked against the actual work pattern and the applicable tax rules.
This is especially relevant when the employee:
- works mainly outside Denmark,
- receives salary from a Danish employer,
- has been posted abroad by the employer,
- lives abroad while remaining on Danish payroll,
- pays tax in the foreign work country,
- sees Danish A-tax on the payslip even though most workdays took place abroad,
- or receives a Danish annual tax assessment that does not reflect the foreign work period correctly.
The key question is not only who pays the salary
Many employees assume that salary from a Danish employer always means Danish taxation. Employers may also take that view because the employee remains on Danish payroll.
That assumption can be too simple.
For cross-border salary, the tax review normally starts with several practical questions:
- Where is the employee tax resident?
- Where did the employee physically perform the work?
- How long did the employee work abroad?
- Did the employee spend days in Denmark during the foreign work period?
- Does Denmark have a double taxation agreement with the work country?
- Did the foreign country tax the salary?
- Was the foreign work connected to the employer’s business?
- Can the employee document the foreign workdays and travel pattern?
- Did the Danish employer report the salary correctly?
A Danish employer may still have Danish reporting obligations. At the same time, the employee’s final Danish tax may need relief, exemption or correction.
When the employee lives in Denmark but works abroad
A common situation is an employee who keeps a home in Denmark and remains fully tax liable to Denmark, but works abroad for a longer period.
Skattestyrelsen explains that a person who lives in Denmark and works abroad may, in some cases, receive relief from Danish tax on salary. The result depends on the facts, including the work country, the duration of the foreign work, the employer situation and any double taxation agreement.
For employees with a Danish employer, it may also be possible to request exemption from Danish A-tax and AM-bidrag withholding. This can be important because it may prevent the employee from paying preliminary tax in two countries at the same time.
However, the exemption does not happen automatically. The correct treatment must be requested, and the employee or employer must provide documentation.
When the employee lives abroad and receives Danish salary
Another common situation is a foreign employee who moves abroad but continues to receive salary from a Danish employer.
Here, the physical place of work becomes very important. If the employee lives abroad and performs the work in Denmark, the salary may still be taxable in Denmark. If the employee performs the work in their home country or in a third country, Danish taxation may need to be reconsidered.
This does not mean the salary becomes tax-free. It may instead be taxable in the employee’s country of residence or in the country where the work is performed. The Danish payroll setup may therefore need to be aligned with the actual work location and the foreign tax position.
The employer should also check whether the employee must provide updated address information, country of residence and Tax Identification Number (TIN), because Danish income reporting can involve exchange of information with the employee’s country of residence.
LL § 33 A: the six-month rule and the 42-day limit
One important Danish rule is ligningslovens § 33 A, often called LL § 33 A.
This rule may reduce Danish tax on salary earned during work abroad if the employee meets the conditions. The rule is technical, and employees should not treat it as a simple automatic refund rule.
The central conditions include that:
- the employee must stay outside Denmark for at least six months,
- stays in Denmark must generally not exceed 42 days within a six-month period,
- the salary must relate to personal work in an employment relationship,
- the foreign work must normally be connected to the employer’s circumstances,
- and the employee must be able to document the foreign stay and work situation.
The 42-day rule is a common problem. Short visits to Denmark can matter. Employees should therefore keep a clear travel calendar and save documents such as flight tickets, boarding passes, accommodation records, work schedules and assignment documents.
The foreign work must normally be connected to the employer
LL § 33 A is not designed for every employee who simply chooses to live abroad while keeping a Danish job.
Den juridiske vejledning states that the foreign stay must be connected to the employer’s circumstances. Relief may therefore be denied if the employee independently chooses to move abroad and the foreign country has no real connection to the employer’s business.
This distinction is very practical.
For example, an employee sent to Germany to manage a German client project may have a stronger case than an employee who moves to Spain for personal reasons while continuing the same Danish job remotely. Both employees work abroad, but the tax analysis may be different.
The assignment agreement should therefore explain why the foreign work takes place, where the employee works, which tasks the employee performs abroad, and how the foreign work connects to the employer’s business.
Double taxation agreements can change the result
Denmark has double taxation agreements with many countries. These agreements help decide which country has the right to tax employment income.
In many cases, salary can be taxed where the work is physically performed. However, the exact result depends on the agreement, the number of days in the work country, who bears the salary cost, whether the employer has a permanent establishment in the work country, and other details.
As a result, two employees with similar Danish payslips may have different tax outcomes if they worked in different countries.
For example, an employee working in Sweden, Germany, Poland, Hungary or another country may need to check the relevant treaty position. The same applies outside the EU.
Danish A-tax already paid may be refundable
If Danish A-tax has already been withheld, that does not automatically mean the money is lost.
The employee may be able to request correction through the Danish tax system. Depending on the timing, this may involve the forskudsopgørelse, the årsopgørelse, foreign income information, a request to Skattestyrelsen, or employer payroll corrections.
In practice, the employee may need to:
- review the Danish annual tax assessment,
- check whether the foreign salary appears correctly,
- add or correct foreign income information,
- document foreign tax paid, if relevant,
- request relief under a double taxation agreement or LL § 33 A,
- provide the employment contract or posting agreement,
- provide information about residence and work country,
- and check whether the Danish employer needs to correct payroll reporting.
If the correction succeeds, Danish tax already withheld may be refunded. Employees who live abroad should also check whether they have a valid NemKonto, because Skattestyrelsen uses NemKonto when paying money back.
A Danish refund does not mean the salary is tax-free
A refund from Denmark does not mean the salary becomes tax-free everywhere.
If the work country or the employee’s country of residence has the right to tax the salary, the employee may need to report and pay tax there. In some cases, the foreign tax rate may be lower than the Danish rate. In other cases, the main benefit is not a lower tax rate, but avoiding double taxation or correcting tax paid in the wrong country.
This point is important: the goal is not to hide income. The goal is to place the income in the correct tax system and avoid paying tax twice.
Practical examples
Danish employer posts an employee abroad
A Danish company sends an employee abroad for a long client project. The employee keeps the Danish employment contract and receives salary from Denmark. The employer continues to withhold Danish A-tax and AM-bidrag.
After six months abroad, the employee reviews the tax position. The foreign work was required by the employer, the employee performed the work outside Denmark, and the employee has travel records, accommodation documentation, payslips and a written posting agreement.
In this type of situation, it may be relevant to check whether Danish tax relief can apply and whether Danish tax already withheld can be refunded.
Employee moves home but keeps the Danish job
A foreign employee works for a Danish company and later moves back to their home country. The employee continues doing the same job remotely from abroad. The Danish employer keeps the employee on Danish payroll and withholds Danish tax.
This situation needs careful review. The employee may no longer perform the work in Denmark, but the move may be personal rather than employer-driven. Tax residence, treaty rules, employer reporting obligations, Danish withholding and foreign payroll risk all need attention.
It may be wrong to continue ordinary Danish withholding forever. However, LL § 33 A may not automatically solve the issue if the foreign stay does not connect to the employer’s circumstances.
Short foreign work period
An employee works abroad for three months and then returns to Denmark. The Danish employer withheld ordinary Danish payroll tax during the period.
Here, the six-month condition under LL § 33 A will normally create a problem. However, the employee should still check the double taxation agreement and whether the work country taxed the salary. The correct answer depends on the treaty and the exact facts.
What documentation should employees collect?
Employees should collect documentation before requesting correction. Skattestyrelsen may ask for proof, and weak documentation can cause the request to fail.
Useful documentation can include:
- employment contract,
- posting agreement or assignment letter,
- employer confirmation of foreign duties,
- travel calendar,
- flight tickets and boarding passes,
- accommodation records,
- payslips,
- salary payment records,
- foreign tax registration,
- foreign tax assessment,
- proof of foreign tax paid,
- work schedules,
- project or client documentation,
- records of days spent in Denmark,
- and documentation of days worked inside and outside Denmark.
The documentation should show both the foreign work period and the connection to the employer’s business.
What Danish employers should check
Danish employers should not treat every foreign work situation as ordinary Danish payroll without review. Cross-border work is one of the payroll situations where small reporting assumptions can become expensive.
For a broader overview of payroll risks, see our article on Payroll in Denmark: Hidden Risks for Employers.
Before or during a posting abroad, the employer should check:
- whether the employee remains tax resident in Denmark,
- whether the work country may tax the salary,
- whether the employer has payroll registration duties abroad,
- whether Danish A-tax and AM-bidrag withholding should continue,
- whether exemption from Danish withholding can be requested,
- whether the employer reports the income correctly,
- whether social security rules also need review,
- whether the assignment agreement supports the intended tax treatment,
- and whether the employee’s address, country of residence and TIN information is up to date.
Employers should also manage expectations carefully. Employees may expect a refund if they hear that foreign tax rates are lower, but the final result always depends on the documentation and legal conditions.
Common mistakes
Assuming Danish payroll decides the final tax
Payroll withholding is not always the final tax result. It is a preliminary mechanism. The annual tax assessment and cross-border rules may change the outcome.
Applying LL § 33 A without checking the employer connection
The six-month stay abroad is not enough by itself. The foreign stay must normally connect to the employer’s circumstances.
Losing track of the 42-day rule
Employees should track every day spent in Denmark during the foreign work period. Even short visits can matter.
Forgetting foreign tax documentation
Foreign tax documents may become necessary if the employee requests relief based on foreign taxation or a double taxation agreement.
Waiting too long
Corrections become harder when documents are missing. Employees should collect evidence during the foreign work period, not one year later.
Checklist before requesting Danish tax correction
Before requesting refund or tax relief, review these questions:
- Did you physically work outside Denmark?
- Which country did you work in?
- What exact dates were you abroad?
- How many days did you spend in Denmark during the period?
- Did the foreign work last at least six months?
- Was the foreign work required by the employer?
- Did the foreign country tax the salary?
- Do you have foreign tax documentation?
- Did your Danish employer withhold A-tax and AM-bidrag?
- Did the Danish employer report the salary correctly?
- Do you have an assignment agreement or employer confirmation?
- Does your årsopgørelse show the foreign work correctly?
- Do you have a valid NemKonto for any refund?
How Andreas Regnskab can help
Cross-border employment tax often sits between payroll, personal tax, employer reporting and foreign tax rules. A small reporting mistake can create double taxation, incorrect Danish withholding or a delayed refund.
At Andreas Regnskab, we help employees and employers review the Danish side of the situation. We can check payslips, payroll reporting, the årsopgørelse, foreign income information and the documentation before a correction request is sent to Skattestyrelsen.
For Danish employers, we can also help identify when a standard payroll setup should be reviewed because an employee works mainly outside Denmark.
If you are unsure whether Danish A-tax should continue, or whether tax already withheld in Denmark may be corrected, contact us before the issue becomes harder to document.
Conclusion
Salary from a Danish employer does not always mean Denmark should keep the full tax on that salary. When an employee performs most of the work abroad, the final tax result may depend on residence, treaty rules, LL § 33 A, foreign taxation, documentation and payroll reporting.
Employees should not assume that a refund is automatic. At the same time, they should not assume that Danish A-tax already withheld is necessarily final.
The safest approach is to review the situation early, collect documentation and request the correct treatment before the issue becomes difficult to fix.
This article provides general information only and should not be treated as legal or tax advice. The correct treatment depends on the specific facts of each case, including tax residence, work country, double taxation agreement, employment terms, social security position and documentation. If your situation is complex or high-value, professional advice should be obtained before decisions are made.
Frequently asked questions
Can I get Danish A-tax back if I worked abroad for a Danish employer?
Possibly. If Danish tax was withheld but the salary qualifies for treaty relief, LL § 33 A relief or another correction, you may be able to request a refund. The result depends on your residence, work country, length of stay, foreign tax position and documentation.
Does salary from a Danish employer always have to be taxed in Denmark?
No, not always. A Danish employer may withhold Danish payroll tax, but the final tax result can depend on where the work was performed, where the employee is tax resident and which country has taxing rights.
What is LL § 33 A?
LL § 33 A is a Danish tax relief rule for certain salary earned during work abroad. It can reduce Danish tax if the employee meets strict conditions, including the six-month rule, the 42-day rule and documentation requirements.
Can I use LL § 33 A if I moved abroad for personal reasons?
Not necessarily. The foreign stay must normally connect to the employer’s circumstances. If you independently choose to live abroad while doing the same Danish job remotely, the rule may not apply in the same way.
Do I still need to report the income abroad?
Often yes. A Danish tax refund does not mean the salary is tax-free. The salary may need to be taxed in the work country or in your country of residence.
What documents should I prepare?
You should prepare your employment contract, posting agreement, payslips, travel records, accommodation records, foreign tax documents, employer confirmation and a day count showing your days inside and outside Denmark.
Sources and further reading
- Living in Denmark and working abroad — Skattestyrelsen
- C.F.4.2 LL § 33 A — Den juridiske vejledning / Skattestyrelsen
- C.F.4.2.1 Tax relief under LL § 33 A, subsection 1 — Den juridiske vejledning / Skattestyrelsen
- C.F.4.2.2.4 The 42-day rule — Den juridiske vejledning / Skattestyrelsen
- C.F.4.2.2.5 The employer’s circumstances — Den juridiske vejledning / Skattestyrelsen
- Living abroad and working in Denmark — Skattestyrelsen
- Living abroad and receiving income from Denmark — Skattestyrelsen
- Payroll in Denmark: Hidden Risks for Employers — Andreas Regnskab
- Årsopgørelse 2025 in Denmark — Andreas Regnskab