Denmark is considering lowering its corporate tax rate as part of a broader economic reform aimed at bolstering the country’s competitiveness and security. This initiative, spearheaded by Venstre, a key political party, seeks to reduce burdens on businesses and ensure Denmark’s economic resilience in a turbulent global landscape.

The proposal comes in advance of the SVM government’s development of a new long-term economic plan for Denmark, expected to be unveiled this autumn. The reform aims to strengthen the Danish economy and secure funding for a significant military build-up.

Venstre is advocating for a reduction in corporate tax, citing the lower rates in many other European countries. The party believes that lowering the corporate tax rate will help Denmark maintain its competitive edge and attract businesses amidst increasing global competition. The current corporate tax rate in Denmark is 22 percent, which is already comparable to many other European countries.

Beyond tax cuts, the proposal also includes a focus on reducing administrative burdens for businesses by at least 25 percent. This involves critically examining the implementation of EU requirements to identify areas where streamlining is possible.

Brian Mikkelsen, director of the Danish Chamber of Commerce, has welcomed the proposals, emphasizing the need to ensure competitiveness in a challenging global environment. He acknowledged the significant role the business community has played in creating the current economic latitude.