Prevention of Tax Treaty Abuse – Third Peer Review Report on Treaty Shopping

Denmark

A. Progress in the implementation of the minimum standard

Denmark has 71 tax agreements in force, as reported in its response to the Peer Review questionnaire, including the multilateral Nordic Convention concluded with Finland, Iceland, Norway and Sweden (the “Nordic Convention”).1 19 of those agreements, the agreements with Australia, Belgium, Canada, India, Ireland, Israel, Japan, Lithuania, Luxembourg, Malta, the Netherlands, New Zealand, Poland, Serbia, the Slovak Republic, Slovenia, Ukraine, the United Kingdom and the Nordic Convention, comply with the minimum standard.

Denmark signed the MLI in 2017 and deposited its instrument of ratification on 30 September 2019. The MLI entered into force for Denmark on 1 January 2020. Denmark has not listed its agreements with Armenia, Germany, and Switzerland, but has indicated its intention to notify its agreement with Armenia under the MLI. These agreements will therefore not, at this stage, be modified by the MLI.

The Parties to the Nordic Convention signed a complying instrument in 2018. The protocol entered into force on 28 November 2019 and its provisions took effect on 1 January 2020.

Denmark is implementing the minimum standard through the inclusion of the preamble statement and the PPT.2

The agreements modified by the MLI come into compliance with the minimum standard once the provisions of the MLI take effect.

B. Implementation issues

As mentioned above, Denmark has not listed its agreements with Armenia, Germany and Switzerland under the MLI. Listing the agreements under the MLI or entering into bilateral renegotiations to implement the minimum standard would ensure that the minimum standard could be implemented in those non-covered agreements.

Summary of the jurisdiction response - Denmark

 

	Treaty partners	Compliance with the standard	If compliant, the alternative implemented	Signature of a complying instrument	The alternative implemented through the complying instrument (if not the MLI)	Comments
1	Argentina	No	N/A	Yes	N/A
2	Armenia	No	N/A	No	N/A	The treaty will be notified as a CTA under the MLI.
3	Australia	Yes	PPT alone	N/A	N/A
4	Austria	No	N/A	Yes	N/A
5	Azerbaijan*	No	N/A	Yes	N/A
6	Bangladesh*	No	N/A	Yes	N/A
7	Belarus*	No	N/A	No	N/A
8	Belgium	Yes	PPT alone	N/A	N/A
9	Brazil	No	N/A	Yes	N/A
10	Bulgaria	No	N/A	Yes	N/A
11	Canada	Yes	PPT alone	N/A	N/A
12	Chile	No	N/A	Yes	N/A
13	China (People's Republic of)	No	N/A	Yes	N/A
14	Chinese Taipei*	No	N/A	Yes	N/A
15	Croatia	No	N/A	Yes	N/A
16	Cyprus*	No	N/A	Yes	N/A
17	Czech Republic	No	N/A	Yes	N/A
18	Egypt	No	N/A	Yes	N/A
19	Estonia	No	N/A	Yes	N/A
20	Finland	Yes	PPT alone	N/A	N/A	Nordic Convention
21	Georgia	No	N/A	Yes	N/A
22	Germany	No	N/A	No	N/A
23	Ghana*	No	N/A	Yes	N/A
24	Greece	No	N/A	Yes	N/A
25	Hungary	No	N/A	Yes	N/A
26	Iceland	Yes	PPT alone	N/A	N/A	Nordic Convention
27	India	Yes	PPT and LOB	N/A	N/A
28	Indonesia	No	N/A	Yes	N/A
29	Ireland	Yes	PPT alone	N/A	N/A
30	Israel	Yes	PPT alone	N/A	N/A
31	Italy	No	N/A	Yes	N/A
32	Jamaica	No	N/A	Yes	N/A
33	Japan	Yes	PPT and LOB	N/A	N/A
34	Kenya	No	N/A	Yes	N/A
35	Korea	No	N/A	Yes	N/A
36	Kuwait*	No	N/A	Yes	N/A
37	Latvia	No	N/A	Yes	N/A
38	Lithuania	Yes	PPT alone	N/A	N/A
39	Luxembourg	Yes	PPT alone	N/A	N/A
40	Malaysia	No	N/A	Yes	N/A
41	Malta	Yes	PPT alone	N/A	N/A
42	Mexico	No	N/A	Yes	N/A
43	Montenegro	No	N/A	Yes	N/A
44	Morocco	No	N/A	Yes	N/A
45	Netherlands	Yes	PPT alone	N/A	N/A
46	New Zealand	Yes	PPT alone	N/A	N/A
47	North Macedonia	No	N/A	Yes	N/A
48	Norway	Yes	PPT alone	N/A	N/A	Nordic Convention
49	Pakistan	No	N/A	Yes	N/A
50	Philippines*	No	N/A	Yes	N/A
51	Poland	Yes	PPT alone	N/A	N/A
52	Portugal	No	N/A	Yes	N/A
53	Romania	No	N/A	Yes	N/A
54	Russia	No	N/A	Yes	N/A
55	Serbia	Yes	PPT alone	N/A	N/A
56	Singapore	No	N/A	Yes	N/A
57	Slovak Republic	Yes	PPT alone	N/A	N/A
58	Slovenia	Yes	PPT alone	N/A	N/A
59	South Africa	No	N/A	Yes	N/A
60	Sri Lanka	No	N/A	Yes	N/A
61	Sweden	Yes	PPT alone	N/A	N/A	Nordic Convention
62	Switzerland	No	N/A	No	N/A
63	Tanzania*	No	N/A	Yes	N/A
64	Thailand	No	N/A	Yes	N/A
65	Trinidad and Tobago	No	N/A	Yes	N/A
66	Tunisia	No	N/A	Yes	N/A
67	Turkey	No	N/A	Yes	N/A
68	Uganda*	No	N/A	Yes	N/A
69	Ukraine	Yes	PPT alone	N/A	N/A
70	United Kingdom	Yes	PPT alone	N/A	N/A
71	United States	No	N/A	Yes	N/A
72	Venezuela*	No	N/A	Yes	N/A
73	Viet Nam	No	N/A	Yes	N/A
74	Zambia	No	N/A	Yes	N/A