Denmark Tax Agency Clarifies Taxation of Planned Loan From Danish Holding Company to Former Co-Investors

The Danish Customs and Tax Administration Feb. 9 posted online Tax Council Binding Answer No. SKM2026.77.SR, clarifying the taxation of a planned loan from a Danish holding company to former co-investors. The taxpayer, an individual, was the founder and sole shareholder of a holding company, which wanted to provide a loan to two individuals who were the taxpayer’s former co-investors in a now-divested company. The two borrowers personally acquired an attractive property and intended to renovate it and subsequently sell it at a profit. The taxpayer wouldn’t receive any use rights or other access to the property in connection with ...