Tuesday, September 4, 2018
Danish Minister of Taxation Karsten Lauritzen has announced that the Government has allocated an additional DKK2.2bn (USD342m) for the modernization of the tax authority's administrative systems in an attempt to strengthen tax collection.
Approximately DKK1.5bn of the additional funds will be used to help collect tax debts and to improve the valuation of properties for tax purposes, with DKK600m to be spent on updating the tax authority's approximately 200 IT systems, some of which have their origins in the 1960s and 70s, Lauritzen said.
The Government has allocated a total of DKK13bn to the tax authority modernization program since 2017, Lauritizen added.
A comprehensive administrative overhaul of Denmark's tax authority was instituted on July 1, 2018, with a series of new specialized boards becoming operational. Under the changes, the tax authority has been split into seven separate entities, each of which has a core area of competency.