Valg af virksomhedsform ved opstart af ny virksomhed

Line Bloch Møller & Sascha Tejmer Larsen

Student thesis: Diploma thesis


This thesis is about some of the business types you’ll have to choose between, when you are think-ing about starting up a business. The thesis examines what type of business, is the most optimal, when you are looking at a tax-related point of view and it examines which pros and cons there is by the different type of businesses. This thesis is based on a person who wants to start-up a consul-tancy, and who owns a course facility. Futhermore is the person, who wants to start the consultancy, trained as a consultant. In the process of starting up a business, it’s possible to choose whether you want to start in personal auspices, where you can use the rules of the Personal Taxation Scheme (Personskatteloven) or the Business Taxation Scheme (Virksomhedsskatteloven). As an alternative to these you can choose to start your business in corporate auspices and use the Corporation Tax Act (Selskabsskatteloven). Single proprietorship is owned by a single person, who is liable to the full extent of one’s assets for the business’ obligations. There is no kind of capital adequacy requirements in single proprietor-ships. The single proprietorship is taxed along with the proprietor – the business is a part of the proprietor’s self-assessment. The proprietor has three ways of being taxed for his single proprietor-ship: the Personal Taxation Scheme (Personskatteloven), the Business Taxation Scheme (Virksom-hedsskatteordningen) or the Return on Capital Scheme (Kapitalafkastordningen). The Personal Taxation Scheme (Personskatteloven) includes the general regulations concerning the taxation of a business’ profit. This mean that the business’ tax profit is being taxed as personal in-come and the interests are taxed as capital income. In the Business Taxation Scheme (Virksomhedsskatteordningen) is it the earnings after interests which is taxed as personal income. The proprietor has the opportunity to choose if he wants to save a part of the profit and hereby equalize the result and achieve a more optimal taxation. If you use the Business Taxation Scheme (Virksomhedsskatteordningen), you’ll need to calculate the return on capital basis, a return on capital and a deposit account. The Business Taxation Scheme (Virksomhedsskatteordningen) is the most complex one. It is so com-prehensive that you often have to involve an accountant. The Return on Capital Scheme (Kapitalafkastordningen) is a simpler edition of the Business Taxation Scheme (Virksomhedsskatteordningen), where you are able to achieve some of the same benefits. In the Return on Capital Scheme (Kapitalafkastordningen) it is the retained earnings before inter-ests, which are taxed as personal income and the interests are taxed as capital income. There needs to be a calculation of a return on capital, which are removed from personal income and instead are moved to capital income. One or several persons own a corporation. There are several types of corporations, but in this thesis the focus is on private limited companies. When starting up a private limited company, there is a capital adequacy requirement at DKK 50.000. In a corporation is the owner only liable with the in-vested capital and the assets of the corporation is not mixed with the owners’ personal finances. A private limited company is taxed after the Danish Corporation Tax Act (Selskabsskatteloven). The company needs to pay a corporation tax at 25 % off the taxable income. The owner is taxed of the salary or the dividend he chooses to distribute to himself. The pros and cons for starting up as a corporation or as a single proprietorship are different, de-pending on which type of business you’ll want to start. The owner who wants to start up a company has to consider which kind of risk he is willing to take. In the personal auspices you are liable to the full extent of your assets, where there is a split between the company’s finances and your personal finances. Furthermore the owner has to consider the taxations consequences for respectively the single proprietorship and the corporation. The calculations of this thesis shows that starting a single proprietorship, the Business Taxation Scheme (Virksomhedsskatteordningen) is the most comprehensive, when you are looking at it with a taxation perspective. The owner has the opportunity to get a bigger taxation value of the interests and is able to save up a part of the profit. A benefit in terms of tax is to start up in corporate auspices. The taxable income is here taxed with 25 pct. This will give a taxable saving compared to the other types of businesses.

EducationsGraduate Diploma in Financial and Management Accounting, (Diploma Programme) Final Thesis
Publication date2014
Number of pages89