20 June 2012

On 12 June 2012 the Danish Parliament approved the introduction of a premium tax on non-life insurance premiums which will replace the existing stamp duty. It is not clear yet what the proposed tax will be called.
 
The new tax will be introduced on 1 January 2013 at the rate of 1.1% of non-life insurance premiums. Exemptions apply to specified insurance classes such as maritime, transport and aviation policies. The tax does not apply to the Faroe Islands and Greenland.
 
From the same date the Stamp Duty Act will be repealed.
 
All insurers liable to pay the tax must register for the tax and account for the tax at monthly intervals. The Minister of Taxation may provide more detailed rules in this regard, including rules for digital tax returns. Certain insurers, such as insurers established outside the EU, will be required to appoint a Danish tax representative; however it will no longer be a legal requirement for an EU insurer to appoint a fiscal representative in Denmark.