Report on the Danish Ministry of Taxation’s monitoring of compliance


Report no. 4/2020

The purpose of the study is to assess whether the Ministry of Taxation is adequately checking whether companies report correct withheld A-tax (direct tax levied on income at source). The report answers the following questions:

  • Are companies that apply for A-tax registration adequately assessed by the Danish Tax Agency?
  • Is the Danish Tax Agency adequately following up on companies that fail to report A-tax, as they are obliged to do?
  • Is the Danish Tax Agency’s guidance and control of companies reporting A-tax sufficiently based on risk and materiality?

It is Rigsrevisionen’s assessment that the Ministry of Taxation is not adequately checking that Danish companies report correct A-tax. The consequence of this is that reported A-tax may be affected by error and fraud, which could lead to a loss of tax revenue. 

Rigsrevisionen initiated the study in October 2019.