Two types of investment accounts

In Denmark, there are several different types of investment accounts for trading stocks. The taxation rules depend on the type of account. In addition to your pension, there are two types of investment accounts:

• • Regular investment account for free funds
  • "Aktiesparekonto"/stock savings account

Below, we first go through the general principles of taxation of stocks in Denmark and subsequently specific rules for the two types of accounts. The choice of account type depends largely on the size of your starting capital.

Taxation of stock income

When you sell a stock at a profit, that profit is taxed. Likewise, if a stock pays out a dividend, it is also taxed as stock income. Conversely, if you lose money on a stock trade, the amount is subtracted from the profit you have made on other stocks. That means that if you have earned DKK 5,000 on one stock and lost DKK 3,000 on another, you only need to pay tax on DKK 2,000. If you experience a year where you only lose money, this loss can be carried forward to the next year.

Realization taxation (regular investment account for free funds)

Under realization taxation, the return is taxed only when you sell your shares and receive dividends. The tax on gains is calculated (download our stock tax calculator above) and paid as part of your overall annual tax return. The principle of realization taxation is used when using a regular investment account for free funds.

Inventory taxation ("Aktiesparekonto"/stock savings account)

Inventory taxation means that any appreciation of your stocks is taxed at year-end, whether you have realized your gain or not. At the same time, any realized or unrealized losses can also be deducted based on the inventory principle. The principle of inventory taxation is used when you use a "Aktiesparekonto". The tax from the "Aktiesparekonto" is reported automatically to the Danish tax authorities once a year based on the total value of your account.

Tax rules for a regular invesment account for free funds

Updated figures for 2024:

• Taxation of stock income: 27% up to the progression limit of DKK 58,900 - thereafter, you will be taxed at 42%.
• If you are married and live with your spouse at the end of the income year, the progression limit is doubled. That means you only pay 27% tax on the first DKK 117,800 of your total stock income.
• Stock income is taxed according to the realization principle. That means you are only taxed when you realize your gain or loss.
• The tax is paid as part of your overall annual tax return.

Tax rules for "Aktiesparekonto"/stock savings account

Updated figures for 2024:

• Taxation of stock income: 17%
• Stock income is taxed according to the inventory principle. That means you are taxed on both realized and unrealized gains.
• The tax from the "Aktiesparekonto" is reported automatically to the Danish tax authorities once a year based on the total value of your account.
• Max. deposit: 135,900 DKK (106,600 DKK in 2023)

"Aktiesparekonto"/stock savings account

An "Aktiesparekonto" is a type of investment account available in Denmark. In short, it makes trading stocks cheaper as you pay less tax on your returns. You can only have "Aktiesparekonto" per person, and you must be at least 18 years old to have one. If you don't already have an "Aktiesparekonto", we recommend that you create one for your investment with Stockmate.

The "Aktiesparekonto" is available in Danish banks, as well as on the two investment platforms that we recommend at Stockmate; Saxo Trader and Nordnet, where it is free to create an "Aktiesparekonto". On your "Aktiesparekonto", you are taxed 17% on your returns - normally, the taxation on your stock profits is 27% up to 58,900 DKK, after which you are taxed 42%.

If you don't already have an "Aktiesparekonto" and create one in 2024, you can deposit the full amount of 135,900 DKK.

What if your investment increases in value above the max deposit?
The value of your "Aktiesparekonto" can indeed increase to more than 135,900 DKK (for example, 200,000 DKK), and you can easily keep this money or securities/stocks in your "Aktiesparekonto", and then sell and buy other stocks. However, it's not possible to deposit more money if you have already reached the maximum deposit of 135,900 DKK.

If, for example, you only deposit 50,000 DKK in 2024, and that the 50,000 DKK increases to, for instance, 80,000 DKK, you can still deposit the remaining amount of 85,900 DKK in the current year (2024) up to the deposit limit of 135,900 DKK, even though your investment has now risen to 80,000 DKK.

If by the year-end (31/12-2024), you haven't deposited any more money, the starting point is now the value of the portfolio. So, if your investment has risen to 80,000 DKK, you can simply deposit an additional 55,900 DKK into your "Aktiesparekonto" after the year-end. If your investment has risen above the deposit limit, you cannot deposit more money into the "Aktiesparekonto" after the year-end. In that case, if you want to invest more money, you'll need to create a new regular stock portfolio not subject to the tax rules of an "Aktiesparekonto".