Trækprocent

Trækprocent is the percentage of an employee’s gross income that is withheld as tax by the employer in the Danish tax system. The rate is defined on the employee’s skattekort, a tax card issued by the Danish Tax Agency (Skat), and is used by the employer to calculate the monthly tax deduction from the wages.

The trækprocent serves as a practical mechanism to approximate the employee’s annual tax liability. It can be a fixed percentage or part of a system that adjusts to the declared income and deductions on the skattekort. In practice, the employer applies the trækprocent to the relevant portion of the employee’s earnings when calculating the net pay, often in combination with other compulsory deductions.

Employees may have changes in income, deductions, or personal circumstances that require updating the skattekort. If so, they can obtain or modify their skattekort through Skat’s digital services, which may involve adjusting the trækprocent or the associated bending of allowances and deductions. The goal is to align with the expected annual tax, reducing the risk of large discrepancies over the year.

At the end of the tax year, the Danish tax authority conducts an annual assessment (årsopgørelse) to determine the actual tax due. If too little was withheld, additional tax is owed; if too much was withheld, a refund is issued. The skat.dk portal provides tools to view, adjust, and monitor one’s skattekort and trækprocent throughout the year.