Danish Insurer Engaged in Abusive Tax Behavior, Top Court Says

Danish insurer GF Forsikring used an abusive value-added tax structure for development of an IT and telephone system, Denmark’s Supreme Court ruled Wednesday.

Altogether, GF Forsikring and a subsidiary must repay with interest nearly 15.2 million Danish krone ($2.2 million) in VAT, along with 810,000 krone in legal costs, the court said.

The decision of the country’s top administrative court reverses a 2021 ruling from a lower court, which sided with GF Forsikring, an insurance company mainly active in private non-life insurance.

GF Forsikring set up a subsidiary, named GF IT, in 2008 that was able to receive ...