Countries around the world are increasingly implementing taxes on air travel to fund sustainable aviation and reduce the industry’s environmental impact. Denmark is the latest to follow this trend, introducing a new air passenger tax starting in 2025 to support the transition to sustainable aviation fuels (SAF).

Like Portugal’s carbon tax on air passengers, Denmark’s approach aims to curb the aviation sector’s climate footprint through targeted financial measures.

Here’s everything you need to know about Denmark’s Air Passenger Tax.

Tax Applicability

The tax applies to all passengers departing from Denmark on fixed-wing aircraft certified for more than 10 passenger seats or with a maximum permitted take-off weight of more than 5,700 kg (12,566 lbs).

It is applicable to passengers on both private non-revenue and charter (non-scheduled commercial) flights.

Tax Exemptions

Exemptions exist for:

• Military flights
• Government flights
• Ambulance flights
• Search and rescue flights
• Humanitarian flights
• Police flights
• Infants
• Staff of aircraft operators on business trips
• Transfer and transit passengers (conditions apply)

It’s best to confirm exemptions with your 3rd-party provider, as they may or may not apply in your particular case.

Tax Rates

The tax will be phased in from 2025, with rates increasing annually until 2030. The rates by 2030 will be:

Note: For a list of countries in each category, please visit the Danish Tax Agency’s website.

How the tax will impact your operations

The tax is based on the final destination of the journey. For example, if you’re flying an intra-European route, the tax will be 50 Danish kroner per passenger by 2030.

When calculating the fees due for a flight, it’s important to note the specific classification of your destination.

Registering for the tax

Registration with the Danish Tax Agency (Skatteforvaltningen) is required for operators to make payments.

Requirements to file include:

• Appointment of a fiscal representative (if no fixed establishment in Denmark)
• Registration with the customs and tax administration at least 8 days before the first chargeable flight

Paying the tax

The tax is calculated based on departures of applicable flights. Payments should be made to the Danish Tax Agency by the 15th day of the month following the reporting month.

Potential Challenges

If the tax is not filed correctly, you could face penalties or operational restrictions in Denmark.