'%3e%3cpath%20fill='%23d80027'%20d='M0%200h133.6l32.7%2020.3%2034-20.3H512v222.6L491.4%20256l20.6%2033.4V512H200.3l-31.7-20.4-35%2020.4H0V289.4l29.4-33L0%20222.7z'/%3e%3cpath%20fill='%23eee'%20d='M133.6%200v222.6H0v66.8h133.6V512h66.7V289.4H512v-66.8H200.3V0h-66.7z'/%3e%3c/g%3e%3c/svg%3e)
Inheritance tax in Denmark 2026
Denmark taxes the estate, gently for family: a surviving spouse pays nothing, and the estate pays 15% only above a DKK 392,300 allowance for children, parents and their line.
Everyone else triggers an additional 25% layer — an effective 36.25% — though siblings join the close-family club from 2027.
Since October 2024, qualifying family businesses (including active rental businesses from 2025) pass at a reduced 10% with a standardised valuation formula.
At a glance
- top rate
- 36.25% effective (non-family heirs)
- entry band
- 0% spouse; 15% above DKK 392,300 for close family
- tax year basis
- Charged on the estate at death
- filing deadline
- Through the estate administration; gift tax annually
- residency basis
- Worldwide estate of Danish-domiciled deceased; Danish property otherwise
- regime flag
- Family business transfers: 10%
Rates
Estate and inheritance tax (2026)
| Rate | Base | Applies to |
|---|---|---|
| 0% | — | Everything passing to the surviving spouse |
| 15% | Net estate above DKK 392,300 | Children, stepchildren, their descendants, parents, a child's spouse (siblings join from 2027) |
| 36.25% effective | Shares to other heirs (25% extra after the 15%) | Siblings (until 2027), nieces, nephews, friends, unrelated heirs |
| 10% | Qualifying business value | Family business successions from October 2024 (1+ year ownership; standardised valuation available) |
Gift tax (annual, 2026)
| Rate | Tax-free amount (DKK/year) | Applies to |
|---|---|---|
| 15% | 80,600 | Children, stepchildren, grandchildren, parents |
| 15% | 28,200 | A child's spouse |
| 36.25% | 80,600 | Stepparents and grandparents |
| Income tax (to ~52%) | — | Gifts to anyone outside the family circle are ordinary income |
Thresholds & allowances
- Estate allowanceDKK 392,300 (2026) before the 15%
Spousal transfers are deducted before the allowance applies
Residency
Residency trigger
Danish domicile of the deceased brings the worldwide net estate into scope; gift tax applies when either donor or donee is Danish-domiciled.
Non-resident treatment
A non-domiciled deceased is taxed only on Danish real estate and Danish business assets; inheritances received from foreign estates are not taxed in Denmark. Credit relief and treaties (Nordic countries, Germany, Italy, Switzerland, US) cover cross-border cases.
Notes
- The annual gift allowances (DKK 80,600 per recipient) make steady lifetime giving the standard planning route — gifts are taxed yearly, not cumulatively.
- Gifts to non-family count as the recipient's personal income — potentially ~52% rather than 36.25%, a trap for unmarried partners without 2 years' cohabitation.
- The 10% business rate comes with a legal right to a standardised valuation based on historical results — removing the old valuation fights with the tax agency.
- Danish nationals abroad can stay in scope if the estate is not administered in a foreign jurisdiction.
FAQ
How much inheritance tax do children pay in Denmark?
The estate pays 15% on value above DKK 392,300 (2026) — and nothing at all passes-through tax on what goes to a spouse. Non-family heirs cost an effective 36.25%.
How much can I gift tax-free in Denmark?
DKK 80,600 per year to each child, grandchild or parent (DKK 28,200 to a child's spouse) — above that, 15% gift tax; gifts to non-family are taxed as their income.
Figures: tax year 2026, compiled from public sources. Not tax advice.