Researcher taxation scheme

The researcher taxation scheme allows for researchers and highly paid employees recruited abroad to pay gross tax of 27 per cent plus 8 per cent labour market contribution for up to 84 months (seven years), under certain conditions. This results in an overall tax rate of 32.84 per cent, including 8 per cent labour market contribution.

Conditions for researchers
The scheme is conditional upon the researcher's qualifications being approved by a research council or public research institution. DTU decides whether the personal qualifications can be approved in line with the job structure for the universities.

A number of conditions must be met before the scheme can be applied. These conditions must be met for the entire period. If not, the scheme cannot used:

• The position must be a genuine research position. If the position does not include a duty to do research, you cannot be covered by the scheme.
• You may not have been fully liable to taxation in Denmark or subject to limited tax liability in Denmark on earned income etc. or business income within the last 10 years prior to employment. However, income from guest lecturing activities or the like at a university or research institution is accepted if it has been generated over a period of a maximum of 12 months within the past 10 years.
• You may have been subject to full tax liability on income from guest lecturing activities or the like for a maximum of 12 months as long as it is foreign income.

   

  Please note that you can move to Denmark and register maximum one month before your first working day.

  If you are eligible for researcher taxation, DTU will apply on your behalf. In that case you do not need to apply for a tax card.

  Read more about the tax scheme for researchers and high paid employees on Skat’s website.

  
  
  

  Conditions for highly paid employees
  
  

• You may not have been subject to full tax liability in Denmark or liable to limited tax liability in Denmark on salary or business income etc. within the last 10 years prior to the employment.
• You may not be subject to tax liability to Denmark, before starting working under the researcher tax scheme.
• You can move to Denmark and register maximum one month before your first working day.
• You may not have been directly or indirectly involved in the management of the business or control over the business or have had essential influence on the business within the last five years prior to employment.
• The average monthly salary must be at least DKK 72,500 (2023-level) within the calendar year after deduction of labour market supplementary pension fund (ATP) contributions. Please note that when coming to Denmark, you have has still not earned the right to holiday pay. As a result, since any holiday taken is unpaid, you may not fulfil the minimum salary requirement. Please also note that your own contributions to a pension scheme with tax exemption will not be included when Skat assesses if the salary requirement has been fulfilled. Nor will any non-guaranteed pay such as bonuses. The minimum salary must be guaranteed in the employment contract before employment commences.

Read more about the tax scheme for researchers and high paid employees on Skat’s website

Maternity/paternity leave

If you take maternity/paternity leave or parental leave, these periods will count towards the 84 months, as you will continue to be employed by DTU during the leave period. Salary is taxed under the scheme, but unemployment benefits are viewed as normal income. 

If you cease to be employed by DTU during the leave, taxation under the research scheme will cease at the same time as your employment is terminated. If you receive any income during the leave period, such as unemployment benefits from the municipality, you can no longer be covered by the scheme. You can only be covered by the scheme again following a 10-year period in which you have not had full or partial tax liability in Denmark.

researcher taxation scheme allows for researchers and highly paid employees recruited abroad to pay gross tax of 27 per cent plus 8 per cent labour market contribution for up to 84 months (seven years), under certain conditions. This results in an overall tax rate of 32.84 per cent, including 8 per cent labour market contribution.

Tax card
If you are eligible for researcher taxation, DTU will apply on your behalf. In that case you do not need to apply for a tax card.If you are eligible for researcher taxation, DTU will apply on your behalf. In that case you do not need to apply for a tax card.