by FFE EU News staff

Danes who work abroad have always had to pay their taxes based on the time they spent working in the Nordic countries, Germany or Netherlands. But after changes to EU policy, expat Danes can now be given their full tax deduction.

The around 16,000 Danes working abroad can now claim reimbursements back to the 2010 tax year. For some workers it will mean up to 7,600 Danish kroner tax return a year.

Some political parties are upset with the new law, claiming that tax minister Holger K. Nielsen has just succumbed to pressure from the European Commission which argued that the tax was a violation of EU residents’ right to free movement.

The Socialist Red-Green, anti EU Alliance –Enhedslisten’s EU spokesperson Nikolaj Villumsen said that the European Commission had no jurisdiction over tax policies of member states, saying ‘It’s wrong that the government succumbs every time the EU exerts some pressure.’ Enhedslisten’s stance on the policy is also shared by right-wing anti EU Dansk Folkeparti.

Meanwhile, lead opposition Venstre is fully behind the new policy. Their EU spokesperson Eva Kjer Hansen said ‘It’s important that we support letting people earn money in different countries because it benefits both the individual and society as a whole.’