Denmark Tax Ministry Posts Decision on Taxation of Assets From U.S. Trust

The Danish Ministry of Taxation Feb. 12 posted National Tax Board Decision AFG No. 9200, for Tax Council Binding Answer No. SKM2025.6.SR, on the taxation of assets from a U.S. trust. The taxpayer, a U.S. citizen who was resident in Denmark since 2017, became the sole trustee and beneficiary of a family trust following an inheritance and sought confirmation that the trust assets didn’t constitute taxable income but rather an inheritance, and that the trust was transparent. The decision confirms that: 1) the trust couldn’t be considered a separate taxable entity under Danish rules, but that due to its separate ...