The Danish Parliament legislated a Bill (No. L 13) on 7 December 2017. The Bill announced a deadline for the preparation of Danish transfer pricing documentation.
According to the bill, Danish taxpayers are required to prepare transfer pricing documentation in line with the Organization for Economic Co-operation and Development’s concept of a local file, a master file, and Country-by-Country (CbC) report under Action 13 of the Base Erosion and Profit Shifting (BEPS) Action Plan. The documentation must be submitted to the tax authorities within 60 days of a request.
The new law is applicable from 1 January 2019. However, for companies with a 2018 income year ending in the period 2 April–30 June 2018, the new law is applicable for income year 2019, i.e., the income year ending in the period 2 April–30 June 2019.
