Tax Credit Scheme

Charlotte Preisler Friedlænder

Student thesis: Master thesis


This species is based on the Tax Assessment Act § 8 X (Ligningsloven) and the scheme for taxcredit, the purpose of which is to review and shed light on the issues of using the scheme. Which issues have been identified and how, as well as which issues the legal basis should be highlighted for future coverage. In 2011, Danish legislation adopted the possibility for companies to apply for a tax credit for their research and development costs. The tax credit constitutes the tax value of the deficit from the research and development activity and gives companies a liquidity advantage. The species reviews the content of the Tax Assessment Act § 8 and the use of the tax credit scheme and is based on a legal dogmatic method use and approach. The issue of possible issues in connection with the use of the tax credit scheme is examined within legal analysis and interpretation. The assignment examines the different types of costs that can be included in a tax credit and the interpretations thereof. The case law in this area is based on a few decisions, where interpretations between the companies, the Danish Tax Agency and the National Tax Court appear differently. In addition, the liquidity advantage is also questioned, as it can take up to 17 months before the tax credit is actually paid out. The long waiting time for payment gives rise to bankruptcy issues, where the tax credit can no longer be repaid. Bankruptcy and the long payout period are also concluded to be the major issues where legislation in this area is judged to be deficient. The one issue surrounding the long payout period uncovered the legislation for a short period of time, but the temporary option has never become a permanent solution

EducationsMSc in Auditing, (Graduate Programme) Final Thesis
Publication date2020
Number of pages80
SupervisorsPeter Koerver Schmidt