Brydo,
I have children and grandchildren living in Denmark, and I visit several times a year, car tax is huge-
You pay vehicle registration tax for the first time when you register a vehicle. From 1 January 2016, electric cars are no longer exempt from tax. Hydrogen-powered vehicles, however, are exempt from tax.
You will be charged vehicle registration tax if you import a vehicle.
If you buy a new car in Denmark, the car dealer usually handles vehicle registration tax and number plates
Rates of vehicle registration tax
Vehicle Vehicle registration tax
Cars 85% of the taxable value up to DKK 185,100 in 2017 and 150% of the rest.
Motor bikes DKK 0 of the first DKK 9,600 in 2017 of the taxable value, 85% of the taxable value between DKK 9,600 – 58,400 in 2017 and 150% of the rest.
Cars and vans (up to 4,000 kilos) DKK 0 of the first DKK 58,000 in 2017 of the taxable value and 50% of the rest.
Exception: Open vans (pick-ups) or box vans with no window in the left-hand side behind the driver weighing 2,501 – 4,000 kilos: DKK 0 of the first DKK 38,200 of the taxable value and 30% of the rest. If the vehicle weighs more than 3,000 kilos, the maximum registration tax is DKK 56,800.
Vans and lorries (of more than 4,000 kilos) Generally, lorries are not subject to vehicle registration tax
The vehicle registration tax is calculated based on the general rules for cars, motor bikes, vans and busses.
Vehicles registered in 2016, 2017, 2018, 2019 and 2020 will be charged 20% of the calculated vehicle registration tax, it will be 65% in 2021, 90% in 2022 and 100% in 2023.
In 2016, 2017 and 2018 the vehicle registration tax will be reduced additionally with DKK 10,000. In 2019 and 2020 the vehicle registration tax will be reduced with DKK 40,000.
Plug-in hybrid cars The tax is calculated according to the ordinary rules for cars, motor bikes, vans and busses.
In 2016, 2017, 2018, 2019 and 2020 an additional fee is charged corresponding to 20% of the difference between the tax including and excluding the electricity consumption in the fuel consumption. This fee will be increased to 65% in 2021, 90% in 2022 and 100% in 2023.
Moreover, a deduction of DKK 10,000 on the final tax is granted in 2016, 2017 and 2018. This deduction will be increased to DKK 40.000 in 2019 and 2020.
Registration tax on used vehicles
In principle, the vehicle registration tax on used cars, motor bikes and vans is calculated in the same way as for new cars. The taxable value and deductions and additional payments for equipment and features etc. will be reduced with the percentage that the value of the vehicle including tax has been changed to (vehicle depreciation) compared with a corresponding new vehicle.
In Denmark, the taxable value of used cars is set based on the market price. The taxable value of new cars is set based on the initial price, corresponding to the ordinary price paid by a user in Denmark.