Denmark modifies VAT return filings

The Danish 2014 Budget includes changes to the VAT compliance regime for small companies.

For businesses will sales less than DKK 5 million, the deadline for filing VAT returns will be extended to 60 days from the current 40 days.

Danish VAT registered entities with annual sales of below DKK 1 million file bi-annually. Above this, and below the DKK 5 million sales level file quarterly returns. Newly registered companies generally have to file quarterly initially. Large (> DKK 20 million), newly registered entities must file monthly.

The penalties for missing a filing are up to €12,000 equivalent. There is also an interest charge of 0.06% per day for any late VAT due.