HomeDanish PoliticsDanish company returns over 12 million kroner in illegal tax rebates

Danish company returns over 12 million kroner in illegal tax rebates

After an extended process involving multiple legal assessments, the Danish government has received back tax money. The co-owner of the Øresund Connection (Øresundsforbindelsen), the company A/S Øresund, has returned just over 12 million Danish kroner (approximately 1.8 million euros or 1.9 million dollars) that were originally given as illegal tax rebates. Transport Minister Thomas Danielsen has confirmed that the total amount is 12,191,723 Danish kroner, including interest, which was repaid on June 10.

Earlier this year, the European Commission concluded that Denmark was required to reclaim funds due to illegal tax advantages. The case centers around A/S Øresund’s ability to write off assets and transfer tax losses, which were deemed state aid incompatible with EU regulations.

The process has been lengthy and complex, marked by several different rulings. As early as 2018, the state guarantees related to the Øresund Connection were declared invalid following a complaint from the ferry company HH Ferries, now known as ForSea. This led to an in-depth investigation by the European Commission, which culminated in the recent decision.

The Øresund Connection, in operation since July 2000 and linking Denmark and Sweden, has now resolved an important aspect of its financial history. This also sets a significant precedent for how such financial structures are assessed under EU state aid rules.

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