Denmark – Branch

Introduction to setting up a branch in Denmark

Foreign investment is welcomed in Denmark, although there are particular codes of conduct concerning the establishment of a Danish branch; foreign branches may only be established in Denmark if their domicile country provides equivalent business opportunities for Danish companies, for example, countries in the EU or EEA. This reciprocation links to Denmark’s number of advantageous double taxation treaties.

What are the accounting requirements for a Danish Branch?

The branch must register with the Danish Tax Authorities for VAT and registration purposes. VAT and tax returns may be required to be filed monthly.

Audited financial statements are not required to be presented by the branch company, but an annual report must be recorded with the Commerce and Companies Agency.

What are the formalities regarding Danish branches?

– A registered address in Denmark
– A copy of the parent company’s Certificate of Incorporation
– A copy of Memorandum & Articles of Association of the parent company
– A copy of the parent company’s Certificate of Good Standing
– The statutes of the parent company
– A registered Branch Manager with unlimited Power of Attorney from the parent company

No share capital is required to establish a Danish branch. The above documents are required by the Danish Commerce and Companies Agency for registration of the branch.

All required documentation must be officially notarised and translated into Danish by a certified translator.

What office facilities are available when registering a branch?

There are two main types of office available in Denmark:

– Virtual offices provide off-site communication, including telephone, fax and mail forwarding facilities, while allowing you to maintain business professionalism
– Serviced offices include all necessary business services and are ready for immediate occupation by the branch.

We will handle every aspect of the branch formation for you. Using our expert knowledge we can offer a branch formation package in which we take care of branch registration, issue of the certificates of registration, local directors, local representative and place of business in Denmark, tax registration, VAT registration, and translation of documents (if required).

Our unique one stop solution for all European formation requirements also offers formation packages to set up multiple branches. The benefits for establishing multiple branches include further increased exposure and global presence, and we can organise everything for you.

A summary of Denmark Corporate Taxes is available here.