Specialists in eKapital reporting
Employee shares and eKapital reporting
Specialists in eKapital reporting
Employee shares are an attractive bonus model that gives staff a stake in the company. Under Section 7 P of the Danish Tax Assessment Act, businesses can offer shares or share options to employees, often at a favourable rate. This enhances motivation and fosters a strong corporate culture.
To gain the tax benefits, it’s essential to report correctly and on time via eKapital – the Danish Tax Agency’s digital system. Incomplete reporting can result in administrative hassle, financial penalties, and incorrect employee taxation. Azets’ experienced tax advisors provide expert support to ensure accurate submissions and full compliance with deadlines.
Secure and timely reporting
We ensure accurate and on-time submissions to eKapital.
Expertise in tax legislation
Our advisors possess deep expertise in tax law, including Section 7 P.
Minimising administrative burdens
We take care of the entire process, saving you time and freeing you from complex admin tasks.
Avoiding errors and penalties
Accurate reporting significantly reduces the risk of sanctions.
All employee shares must be reported in eKapital no later than 20 January.
Let Azets take care of reporting to eKapital
If you don’t have the time or expertise to file reports, our experienced tax advisors can do it for you. We know every aspect of tax legislation and have extensive experience in reporting to eKapital.
Reporting employee shares to eKapital can be a complex and time-consuming affair, but with Azets as your advisor, you can rest assured that your reports will be filed professionally and efficiently.
Contact us today to learn more about how we can help you optimise your employee share scheme and ensure error-free reporting.
Why you should choose Azets to handle the reporting to eKapital in Denmark
Benefits of an employee share scheme
Benefits of an employee share scheme
Employee shares are a valuable form of bonus that give employees a stake in the company they work for. Through Section 7 P of the Danish Tax Assessment Act, companies can offer shares or stock options to their employees, often at a favourable price. They can be a powerful motivator and help create a strong company culture, in which employees feel they are a part of the company’s success.
An employee share scheme can be of great benefit to both the company and its employees. For the company, it can increase employee loyalty and motivation, while giving employees the opportunity to invest in the business and potentially gain financially.
Understanding Section 7 P of the Danish Tax Assessment Act
Understanding Section 7 P of the Danish Tax Assessment Act
To understand the full value of employee share schemes, it is important to be familiar with Section 7 P of the Danish Tax Assessment Act. This section forms the foundation for the taxation of employee shares in Denmark, and is crucial for how stock options and purchase options are treated for tax purposes.
In short, Section 7 P allows employees to be taxed on the gain only when their shares are sold, not when options are granted or exercised. To obtain these tax benefits, certain criteria must be met, including a general scheme for employees.
Employee shares may also have been granted under older schemes under Sections 16 and 28.
Reporting to eKapital can be a complex task
Reporting to eKapital can be a complex task
When implementing an employee share scheme, it is important that you set up a process for timely and correct reporting to eKapital – the Danish Tax Agency’s electronic system for reporting employee shares, contributions to unemployment insurance funds and trade unions, etc.
In addition to administrative burdens and financial penalties, inadequate reporting can result in your employees being taxed incorrectly, which can lead to frustration and distrust of the employee share scheme.
Many companies find it a major and challenging task to navigate the complex rules for reporting employee shares to eKapital. It requires an understanding of tax laws and accurate data management to ensure everything is reported correctly.
Guarantee accurate reporting of your employee shares
Avoid mistakes and penalties by letting Azets manage the reporting of employee shares to eKapital. Our experts ensure everything is completed correctly and on time, allowing you to focus on other priorities.