Interest-free loan VAT and payroll tax

In general

This article describes the possibility of an interest-free loan from the state from May 2020 to April 2021, as a result of coronavirus. The law is currently not adopted and changes may occur. The proposal (L 175) is expected to be adopted on 30 April.


It is not yet clear where the application should be made or when applications are expected to be received.

The latest deadline for applications is June 15, 2020. Payment will be made within five business days unless the case is taken for review.


Loans can be received in the form of VAT paid on 2 March 2020. This relates to the tax periods for the second half of 2019 and the fourth quarter of 2019. The same applies to payroll tax, cf. the following section. The scheme applies to all industries.

Repayment must be made by April 1, 2021.

What payroll tax?

Similarly, payroll tax applies for the first quarter of 2020, as well as a quarter of the payroll tax for profits for the 2019 income year (only for Method 4, which is, for example, healthcare companies, passenger transport, etc.).

If there are employees, the loan can be the preliminary calculation of payroll tax for the first quarter of 2020 (deadline 15 April 2020). If payroll tax for profits 2019 is reported, then 25% of this.

Cash flows

Payment of the loan is made to the tax account. This means that it may be necessary to change the payment limit in the tax account if you want the money to be transferred to your bank account. Repayment must similarly be made to the tax account.

The scheme does not apply to…

The following companies cannot participate in the scheme:

1) is in bankruptcy proceedings,

2) is undergoing reconstruction treatment;

3) are in liquidation;

4) is under forced dissolution,

5) has provided or has been required to provide security under section 11 of the Collection Act;

6) within the last 3 years, has been provided with a corresponding tax or levy etc. provisionally in accordance with section 4 (1) of the collection law. 1, which is not replaced by an indication for the settlement period,

7) has a natural or legal person who is the owner of the business, actually runs the business, is a member of the company’s board of directors or management or is a branch manager of the company and who has been convicted of tax or tax fraud within the last 10 years or tax law or section 289 of the Criminal Code,

8) during the period from 9 April 2020 to 15 June 2020, 50 per cent has changed. or more of the group of owners, unless there is a statement from an independent, approved auditor that the change of ownership has taken place in order to carry on the business (SKAT sets requirements for the statement),

(9) does not qualify for State aid; or

10) are public institutions

When things are adopted and we know more about the content, we will update the information.