6 tax tips for the New Year
Shares, pensions, gifts, and charity. You may be able to claim deductions and save money if you review your personal finances before the end of the 2025 income year.
1. Pay your tax arrears before the end of the year
If you pay your outstanding tax for 2025 before the end of the year, you will not have to pay interest on the amount. The Tax Agency will not send out the annual statements until mid-March 2026, but your accountant can help you estimate any outstanding tax before the end of the year.
From January 1, 2026, until the payment date, you must pay interest on any outstanding tax. Until July 1, the so-called day-to-day interest rate is 3.7% p.a.
If you wait to pay until after July 1—or allow the remaining tax to be included in your advance tax for 2027—you will have to pay a fixed interest surcharge of 5.7%. Please note that you can include a maximum of DKK 23,100 plus the percentage surcharge in your advance tax for 2027.
Residual tax can occur if, for example
- your personal income is higher than what you have registered in advance and you have to pay top tax
- you have received a great dividend
- your deductions are less than what you have registered in advance - for example, a lower transportation deduction as a result of more homeworking days.
2. Take advantage of pension deductions
Check whether you have used all your options for tax-deductible pension contributions in 2025. Here you can read more about how to save money on taxes by contributing to your pension.
Anyone can make pension contributions, but if you pay top tax, the deduction value is highest.
3. Gifts for children and loved ones
Every year, the Danish Tax Agency sets an amount that indicates the maximum amount that can be given as a tax-free gift to children and grandchildren, among others. In 2025, the limit is DKK 76,900.
Gifts to children-in-law worth DKK 26,900 or less are also tax-free.
4. Review your stock portfolio
If you as a private shareholder have received dividends or sold listed shares at a gain during the year, it may be beneficial to realize a loss on other shares before year-end. This is because losses on some shares can be offset against gains/dividends before tax is calculated. Losses that exceed the year's gains/dividends can only be carried forward to offset against later years' gains/dividends on listed shares.
For some, it will be advantageous to sell shares at a profit before the end of the year if their share income for the year is less than DKK 67,500. All share income below DKK 67,500 is taxed at 27% (DKK 135,000 for spouses). Any share income above this amount is taxed at 42%.
5. Stock savings account with potential
A share savings account is a somewhat overlooked opportunity to save money on taxes when investing in shares. It allows you to get away with a 17% share tax rate compared to the normal tax rate of 27% or 42%.
You can create one account per person and there are rules on which securities can be included. You are taxed with 17% of the return, which is calculated according to the stock principle at the end of the year.
The financial institution reports all the information to the Danish Tax Agency and the tax is calculated and paid by the financial institution via your share savings account.
In 2025, the deposit limit is DKK 166,200. If you already have a share savings account, you must deposit the difference between DKK 166,200 and the market value of the shares as of December 31, 2024.
In addition, it is permitted to top up the account (invest) with the amount paid in tax the previous year – even if it exceeds the ceiling for the year.
If the value of the investments falls, the loss can be "saved" to offset any future gains. The account is a closed circuit, so you can only use deductions carried forward in the share savings account. If the account is not kept open, any loss deductions are lost.
6. Give to charity
You can get a tax deduction for gifts to various approved charitable organizations. You can get a deduction of up to DKK 19,000 in 2025. However, to get a deduction, you must provide your social security number to the organization receiving the contribution, and the organization will then report your contributions to the Danish Tax Agency.
Please note that there are special rules if you commit to making contributions for at least 10 years.
Additional information
If you need advice or assistance, you are welcome to contact inforevision's tax department. You can read more about us here.
