In general, all requirements with respect to taxes, accounting and auditing are the same for the private limited and the limited company.
In 2014, a new type of company called “Entrepreneurial company” (iværksætterselskab – IVS) was introduced. It is similar to the private limited company, except to establish an entrepreneurial company only DKK 1.0 in capital is required. The capital must be paid in cash. The capital is thereafter built up with 25 % of the annual profit until the capital is DKK 50,000. It is not possible to get dividends before the capital is built up to DKK 50,000.
Partnerships are regulated in the Danish Company Law, furthermore partnerships must be registered with the Danish Business Authority (DBA).
For tax purposes a partnership is treated as a transparent entity.
A registered branch or a subsidiary of a foreign company must be registered and meet the requirements of Danish Company Law.
The branch manager of a registered branch office must file a certified copy of the foreign corporation’s audited financial statement with the DBA. When filed, the information is available to the general public.
The annual report is subject to auditing by a state authorized public accountant or a registered accountant. Small companies can avoid statutory audit (having turnover less than DKK 8.0 mill., less than 12 employees and a balance sheet less than 4.0 mill.).
Companies with turnover less than DKK 89 mill, less than 50 employees and a balance sheet less than 44 mill. have the option between a statutory audit and an extended review. Extended review is a cross between audit and review.
The annual report must be filed with the Danish Business Authority in XBRL (extensible Business Reporting Language). Upon filing, the annual report will be available to the public.
For groups of companies, the filing of a consolidated financial statement is mandatory unless the shares of the Danish company are owned by an EU-company which prepares a consolidated financial statement, except in the case of small consolidated financial statements (Total assets less than 44 mill DKK, turnover less than DKK 89 mill and employees less than 50).