Denmark Transport and Logistics Tax Guide

VAT on Transport Services

The VAT rate for transport services depends on the nature and destination of the transport:

• Domestic transport of goods — 25% VAT: Trucking, courier, and freight services where both pickup and delivery are in Denmark are subject to the standard 25% VAT. This applies to full truckload (FTL), less-than-truckload (LTL), parcel delivery, and specialised transport (temperature-controlled, hazardous goods, oversized loads).
• Cross-border transport of goods — 0% VAT: Transport of goods between Denmark and another country (or through Denmark to/from a third country) is 0% VAT (ML §5, stk. 1, nr. 4). The zero-rate covers the entire transport chain from origin to destination, including the Danish leg of an international journey. The carrier must hold documentary evidence of the cross-border movement (CMR note, bill of lading, airway bill).
• Transport services ancillary to cross-border transport — 0% VAT: Loading, unloading, handling, and warehousing directly related to cross-border goods transport are also 0% VAT when provided by the carrier as part of the same supply. Separate ancillary services (e.g., warehousing not connected to a specific international transport movement) are standard-rated at 25%.
• Passenger transport — 0% VAT: Domestic passenger transport by road, rail, or ferry is 0% VAT (ML §5, stk. 1, nr. 4). This covers bus routes, train services, domestic ferry crossings, and taxi services (though taxi trips are not zero-rated — see below). International passenger transport is also 0% for the cross-border element.
• Taxi and ride-hailing: Taxi services and ride-hailing (Uber, Bolt) are subject to 25% VAT — they are not zero-rated passenger transport under ML §5. The distinction is whether the transport is a public scheduled service (0%) or an on-demand private hire (25%). Ride-hailing platforms must charge 25% VAT on fares and remit to SKAT.

Reverse Charge for Cross-Border Transport B2B

• B2B transport services to Danish VAT-registered customers: A non-Danish carrier providing transport services (including domestic Danish transport) to a Danish VAT-registered recipient must reverse charge the Danish VAT. The Danish recipient accounts for the VAT (25% on the domestic portion) on behalf of the non-Danish carrier. The recipient can simultaneously deduct the same VAT if the service is used for taxable purposes — resulting in a net neutral VAT position.
• Documentation: The non-Danish carrier's invoice must state "reverse charge — VAT payable by the recipient" and include the Danish recipient's CVR number. The invoice does not include Danish VAT. The recipient accounts for VAT under the reverse charge mechanism in their VAT return (rubrik A on the Danish VAT return for purchases from abroad).
• B2C transport services: A non-Danish carrier providing transport services to Danish private individuals must register for Danish VAT if the services exceed 50,000 DKK in a 12-month period. In practice, cross-border B2C transport is rarely subject to Danish VAT as it falls under the 0% rate for cross-border transport.

Freight Forwarding — Principal vs Agent

The VAT treatment of freight forwarding services depends on whether the forwarder acts as a principal (taking responsibility for the entire transport chain) or an agent (arranging the transport on behalf of the customer):

• Forwarder as principal: When the freight forwarder takes responsibility for the entire transport (contracts with individual carriers in its own name, issues a single invoice to the customer covering all legs), the forwarder is treated as having made a single supply of transport services. The VAT rate follows the nature of the transport: if the transport is cross-border (any leg crosses a border), the entire supply is 0% VAT. If entirely domestic, the entire supply is 25% VAT.
• Forwarder as agent: When the forwarder arranges transport but the carriers contract directly with the customer (the forwarder receives a commission or fee), the forwarder's service is intermediation. The commission/fee is subject to 25% VAT regardless of whether the underlying transport is domestic or cross-border.
• Most forwarders act as principals in practice — the Danish tax authorities (Skattestyrelsen) tend to classify freight forwarding as a principal arrangement when the forwarder issues a single invoice, accepts liability for loss/damage, and determines the routing. The distinction matters for input VAT recovery — principal forwarders recover input VAT on carrier costs (at 0% or 25% depending on the transport) while agent forwarders cannot recover input VAT on their costs (if their only output is exempt intermediation — though intermediation in transport services is not exempt; it is taxable at 25%).

Warehousing and Logistics Property

• Warehouse storage — VAT: Storage services provided in a warehouse (lagerhotel, palleopbevaring) are subject to 25% VAT as a supply of services. There is no exemption for warehousing as rental of immovable property because the storage service includes active handling, inventory management, and access — it is more than a passive lease of space.
• Simple storage (passive lease of space): If the logistics provider merely rents out warehouse space without providing handling or management services, the supply is exempt from VAT as rental of immovable property (ML §13, stk. 1, nr. 9). The landlord may opt for VAT on the rental (frivillig VAT-registrering for udlejning af erhvervsejendom) if the tenant uses the space for taxable economic activities. Opting for VAT allows the landlord to recover input VAT on construction and maintenance costs. See our VAT Registration Guide → for the property VAT option.
• Third-party logistics (3PL) — complex supplies: 3PL providers offering bundled storage, picking, packing, and dispatch services must assess whether the supply is a single supply of logistics services (25% VAT) or a mix of exempt storage and taxable services. SKAT follows a single-supply approach for integrated 3PL — if the handling services are incidental to the storage, the whole supply is 25% VAT. 3PL providers in Denmark typically charge 25% VAT on all services and recover full input VAT on their costs.
• Bonded warehouses: Storage of goods in a customs warehouse (toldlager) is not subject to Danish VAT while goods remain under customs supervision. The warehouse keeper's storage fees are 25% VAT. Duty and VAT on imported goods are suspended until the goods are released into free circulation — see our Customs and Import Guide → for customs warehousing procedures.

Vehicle Taxes for Trucks

• Weight tax (vægtafgift): Trucks (lastbiler) with a permissible total weight exceeding 4,000 kg are subject to an annual weight tax under the Vægtafgiftsloven. The tax is calculated based on axle configuration and weight: 2-axle trucks pay approximately 8,000–15,000 DKK/year; 3-axle trucks 15,000–25,000 DKK/year; 4+ axle trucks and combinations 25,000–45,000 DKK/year. The tax is due quarterly and is a deductible operating expense.
• Eurovignette (tidsbestemt betaling): Foreign and Danish trucks over 12 tonnes using Danish motorways must pay a time-based Eurovignette charge (vignet). As of 2026, the vignette system covers particulate matter and NOx external costs. Daily passes are 150–300 DKK depending on emissions class; annual passes are 10,000–25,000 DKK. The vignette charge is deductible.
• CO₂-differentiated truck tax: From 2025, Denmark has introduced a CO₂-differentiated element to truck taxes, with higher rates for older diesel trucks (Euro 4 and below) and reduced rates for zero-emission trucks. Electric trucks are exempt from both vægtafgift and the CO₂ supplement for 5 years from first registration.
• Diesel refund for commercial transport: Transport companies may claim a partial refund of the diesel fuel duty (CO₂ tax element) for fuel used in commercial road transport under the diesel refund scheme (godtgørelse af CO₂-afgift). The refund rate is approximately 0.25 DKK/litre (2025). The refund is claimed through SKAT's TastSelv Erhverv on a quarterly basis.

Driver Expenses and Per Diems

• International driver per diems (befragtningsfradrag): Drivers on international transport routes may claim a standard deduction (befragtningsfradrag) of approximately 540 DKK per day for subsistence costs (2026 rate, indexed). The deduction requires documentation of the international transport (CMR note, customs documents). The deduction covers food and incidental expenses while abroad.
• Domestic driver per diems: For domestic transport, the standard travel allowance (rejsegodtgørelse) rules apply — 600 DKK/day for overnight stays in Denmark. Drivers who return home daily cannot claim per diems. See our Travel Allowance and Per Diem Guide → for full rules.
• Truck accommodation (lastbilkahyt): When a driver sleeps in the truck cabin (hvil i kahyt), the employer may pay a reduced overnight allowance of approximately 300 DKK per night (2026, tax-free for the employee if paid as reimbursement). The employer deducts the amount as a business expense.
• Driver canteen and meal subsidies: Employer-provided meals for drivers at company canteens are tax-free for the employee when provided as a natural part of the employment. Cash meal allowances paid to drivers are taxable A-income.

Cross-Border Road Transport — Cabotage

• Cabotage rules: Non-Danish hauliers may perform up to 3 cabotage operations within 7 days of an international delivery to Denmark (EU Regulation 1072/2009). For tax purposes, cabotage transport within Denmark is domestic transport subject to 25% Danish VAT. The non-Danish haulier must register for Danish VAT or apply reverse charge if the customer is VAT-registered. Cabotage exceeding the permitted limit is illegal and may result in fines and vehicle impoundment.
• PE risk for foreign hauliers: Foreign hauliers with regular cabotage operations or a permanent operational base in Denmark (depot, regular parking, driver accommodation) may create a permanent establishment for Danish corporate tax purposes (SEL §2, stk. 1, litra a). See our Permanent Establishment Guide → for the 30-day PE threshold.
• Posted drivers: Foreign drivers posted to Denmark for cabotage or international transport must register for Danish social security (A1 certificate required from home state) and comply with Danish posted worker rules (Udbudsdirektivet). For personal tax, drivers spending more than 183 days in Denmark may become Danish tax-resident — see crew rules in our Aviation Tax Guide → for analogous principles.

For general business tax compliance for transport companies, see our Business Tax Return Guide →. For vehicle acquisition and registration tax, see our Motor Vehicle Tax Guide →.