How wealth tax works in Denmark
Denmark levies no general net wealth tax on individuals. Shares, bank balances, fund units and business interests face no annual Danish wealth charge in 2026.
Real estate is taxed separately. Owners pay state property-value tax around 0.51% and municipal land tax on the land value, both computed from the post-2024 valuation system at 80% of assessed value.
Wealth still meets tax when it produces income. Dividends, gains, rents and pension returns are all taxed yearly even though holding the assets costs no wealth tax.
Tax rates at a glance
- Net wealth tax
- 0%Zero
- Net worth tax
- 0%
- Property-value tax
- 0.51%
- Land tax
- Municipal
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
Watch out for
- No wealth tax does not mean light property tax. The 2024 revaluations moved many assessments sharply, and rebates phase out over the transition years.
- Pension wealth faces yearly tax on returns at 15.3%. Retirement savings are sheltered from income tax going in but not from return tax while invested.
- Bank and broker reporting is comprehensive. Undeclared foreign accounts surface through automatic exchange, with penalties beyond the tax itself.
- High-value homes face an extra property-value layer above the knรฆk threshold. Check the current breakpoint before buying at the top.
Frequently asked questions
Does Denmark have a wealth tax?
No. Denmark levies no general net wealth tax on individuals.
Is property taxed as wealth in Denmark?
Not as wealth tax. Owners pay property-value tax and municipal land tax based on the post-2024 valuations.
Is Denmark good for wealth planning?
Holding assets costs no yearly wealth tax, but income, gains and estates are taxed firmly, and property taxes are material.