Contents

The section covers

  • Rule
  • Order
  • PAL tax exemption

Rule

The Minister for Taxation can lay down rules on the administration of the Act, including on

1)  the accounting basis for preparing the statement under Sections 21-24 of PAL,

2)  the information to be reported to SKAT for use when determining the basis of taxation and the taxable part thereof as well as the form in which this information must be provided,

3)  conversion of acquisition sums and consideration into cash value, cf. Section 15(3) of PAL,

4)  adjustment of the basis of taxation and the taxable part thereof,

5)  adjustment of the deadline for submitting statement and PAL tax and adjusting the interest payable thereon when moving a plan to or from a bank or pension provider,

6)  adjustment of which party is responsible for paying the PAL tax,

7)  disclosure of information between a bank or pension provider for use in calculating PAL tax in connection with transfers as mentioned in Section 10(6) of PAL, and

8)  setting off negative PAL tax under Section 25 of PAL when paying PAL tax under Section 23 of PAL or tax under Section 38 of PBL, including the bank's or pension provider's liability for amounts offset in contravention of Section 25 of PAL, as well as the interest payable thereon.

 

SKAT can lay down rules stipulating that no PAL tax is payable for pension plan holders who are not fully liable to taxation in Denmark under Section 1 of KSL.

 

Order

The above administrative rules in Section 31(1) of PAL have been laid down in Order no. 1540 of 13 December 2007 on the PAL rules on foreign banks and pension providers and on compensation disbursements and are described under the sections in the guide describing the relevant areas.

 

Reference to the guide

►The table contains a reference from the order on the act and sections in the guide so that it is possible to see where in the guide information about the order can be found.◄

Order

PAL

Section in the guide

Part 1

 

 

Section 1

Sections 21-23 and 25

D.1.1 Pension providers liable to taxation under Section 1(2) of PAL and pension plans liable to taxation taken out with pension providers

D.1.2 Pension plans liable to taxation taken out with banks etc.

D.1.3.1 Final calculation of the basis of taxation and the taxable part thereof as well as declaration and payment of PAL tax upon the termination of a pension plan

D.1.5 Payment of negative PAL tax upon termination

Part 2

 

 

Section 2

Section 23(4)

D.1.3.1 Final calculation of the basis of taxation and the taxable part thereof as well as declaration and payment of PAL tax upon the termination of a pension plan

Part 3

 

 

Sections 3-5

Section 23(4)

D.1.3.1 Final calculation of the basis of taxation and the taxable part thereof as well as declaration and payment of PAL tax upon the termination of a pension plan

Part 4

 

 

Section 6

Section 15(1)

C.2.3.1 Interest income

Part 5

 

 

Section 7

Section 15(1)

C.2.3.1 Interest income

Section 8

Section 10 and Section 20(3)

B.7 Reduction of the basis of taxation for plans taken out before the end of 1982

C.3.4.4 Carryforward to subsequent years of taxation

Section 9

Section 22

D.1.2 Pension plans liable to taxation taken out with banks etc.

Part 6

 

 

Section 10

Sections 20 and 22

C.3.4 Tax paid to a country other than Denmark and tax paid to the Faroe Islands or Greenland

D.1.2 Pension plans liable to taxation taken out with banks etc.

Section 11

Sections 23 and 25

D.1.3.1 Final calculation of the basis of taxation and the taxable part thereof as well as declaration and payment of PAL tax upon the termination of a pension plan 

D.1.5 Payment of negative PAL tax upon termination

Part 7

 

 

Sections 12-18

Section 15(3) and (4)

C.2.2 Determining the basis of taxation according to the inventory principle

Part 8

 

 

Section 19

Section 21

D.1.1 Pension providers liable to taxation under Section 1(2) of PAL and pension plans liable to taxation taken out with pension providers

Section 20

Section 22

D.1.2 Pension plans liable to taxation taken out with banks etc.

Section 21

Section 23

D.1.3.1 Final calculation of the basis of taxation and the taxable part thereof as well as declaration and payment of PAL tax upon the termination of a pension plan

Part 9

 

 

Sections 22-28

-

D.7 Auditor's statement

Sections 29-30

 

D.8 Criminal liability

 

PAL tax exemption

The rules on PAL exemption under Section 31(2) of PAL appear from Danish Order no. 153 of 25 February 2008 on exemption from withholding and paying PAL tax. Applications for PAL tax exemption must be made on form 07.058 or 07.058E (English version).

 

See also

See also section A.1.1 Persons etc. liable to taxation.