Joint taxation
Last updated 26/08/2025 – Reading time: 2 min
When a company owns more than 50% of another company, the two companies must be jointly taxed. This means that the companies are included in a single tax assessment, where the profit from subsidiaries is transferred to the parent company.
As a starting point, it is the holding company that owns the operating company, and therefore the joint taxation must take place here. A holding company can own several operating companies, but joint taxation only applies if the holding company owns more than half of the capital in each company.
Advantages of joint taxation
There can be clear tax advantages to joint taxation.
If one or more companies have negative taxable income, losses can be offset against profits from other companies in the group. This way, the total tax payment is lower.
Compulsory joint taxation and registration
If you have compulsory joint taxation in your companies, it is not automatically registered with the Tax Agency.
At Accountview, we help with:
- Basic registration of joint taxation with SKAT
- Calculation of joint taxation income
- Preparation and reporting of the joint taxation statement
When does voluntary joint taxation make sense?
Voluntary joint taxation can be an advantage if several companies are in the same ownership group but are not automatically jointly taxed. It can provide better utilization of losses and liquidity in the group. However, it must be assessed based on the company’s finances and ownership structure and should always be done in consultation with an accountant.
Are you unsure about joint taxation?
Joint taxation can seem complicated, especially if you have multiple companies or are unsure whether your business is subject to joint taxation. At Accountview, we help clarify whether your company is subject to joint taxation and ensure correct registration, calculation and reporting to the Tax Agency.