Taxation

Danish pensions are taxed in Denmark prior to being paid to the client in New Zealand.

The full amount of the Danish pension is subject to New Zealand tax but a tax credit will be allowed for any tax deducted in Denmark up to the maximum New Zealand tax liability on the benefit or pension income.

The client should be encouraged to file a tax return to the Danish tax authorities each year to The Danish Pensions Agency (Pensionsstyrelsen).

For The Danish Pensions Agency (Pensionsstyrelsen) contact details see:

• Overseas pension agencies Denmark

The client should contact New Zealand Inland Revenue to discuss their New Zealand tax liability for the Danish pension and any New Zealand benefit or pension.

New Zealand benefits and pensions paid in Denmark are not taxed in New Zealand but may be taxed in Denmark.

The client must make their own tax arrangements with the Danish tax authority.