Denmark Tax Agency Clarifies Individual Income Taxation Concerning Employer-Owned Electric Vehicles

The Danish Customs and Tax Administration Feb. 6 posted online Tax Council Binding Answer No. SKM2026.71.SR, clarifying individual income taxation concerning employer-owned electric vehicles. The taxpayer, a director and main shareholder of his employer, would acquire use of an employer-owned electronic vehicle. The employer intended for the taxpayer to charge it at home once or twice per week, to use a greener option for purposes of sustainability reporting. The taxpayer inquired as to individual income taxation. The Tax Council found that: 1) the car would be suitable for private driving, and the driving between the taxpayer’s private residence, an address ...