Denmark Tax Agency Clarifies Import VAT Liability on Undeclared Imports

The Danish Customs and Tax Administration April 29 posted online Eastern High Court Decision No. SKM2025.226.OLR, clarifying the import VAT liability for undeclared imported goods. The taxpayer, a nonresident forwarding company, imported oil drilling equipment into Denmark without placing the goods under customs duty, thereby incurring a customs debt. The Tax Agency also imposed import VAT, finding that the goods entered the EU and triggered VAT under Section 12 of the VAT Act. On appeal, the Eastern High Court found that: 1) there was no obligation to pay import VAT on goods exempt from customs duty upon import into Denmark ...