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LOWTAX ONSHORE
DENMARK INFORMATION: LOW-TAX AND INCENTIVE REGIMES
Denmark
has high rates of personal income
tax and is in the mid-range in terms
of corporate tax,
and has never been considered a financial
centre. However changes to its holding
company law in 1999 provided outstanding
opportunities for the international
investor, and subsequent adjustments
to the law have if anything increased
its attractiveness.
Historically,
9 onshore European countries (Austria,
Belgium, France, Germany, Luxembourg,
the Netherlands, Spain, Switzerland
& the United Kingdom) have competed
and continue to change their fiscal
laws in order to make their jurisdiction
the most attractive one in which to
locate a holding company.
Nonetheless
changes to the laws on Danish holding
companies which were introduced in
1998-9 revolutionized the market and
made Denmark far and above the most
attractive location in which to site
a holding company, with the twin consequences
that the Netherlands' historic dominance
of the onshore holding company market
has been seriously threatened and
other holding company jurisdictions
were made to look singularly unattractive.
In
Denmark there are also some time-limited
tax-saving opportunities for expatriate
managers and skilled workers.
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