When you are on parental leave, your right to continue on the special researcher taxation scheme depends on whether your employment continues during the parental leave or it ends during your parental leave. Also of importance is whether you give up your residence in Denmark or you keep your residence in Denmark.
If you maintain your place of residence in Denmark during your leave, you will still be eligible for the researcher taxation scheme after your leave has ended, since you are liable to pay tax in Denmark during your leave. The period of leave (including periods on maternity/paternity benefit) will be deducted from the seven-year period during which you can be taxed under the researcher taxation scheme.
If you receive maternity/paternity benefit during periods of unpaid leave, this will not affect whether you are still eligible for the researcher taxation scheme after your leave has ended.
If you give up your place of residence in Denmark during your leave, as a general rule you will continue to be eligible for the researcher taxation scheme after your leave has ended. If you maintain your limited tax liability throughout the period – either because you receive a salary from AU or because you receive maternity/paternity benefits from Denmark – your tax liability will not lapse, and you can return to the researcher taxation scheme. In such case, you will have limited tax liability during the entire period. The period of leave (including periods on maternity/paternity benefit) will be deducted from the seven-year period during which you can be taxed under the researcher taxation scheme.
Your tax liability will only cease if you move away from Denmark and do not receive any Danish salary or Danish maternity/paternity benefit. When you return to Denmark after your leave has ended, your tax liability will be resumed. If you meet the criteria for the researcher taxation scheme, you will be liable to be taxed under the scheme. Please note that you are required to de-register from the Danish National Registration Office (Folkeregisteret). HR must contact Payroll concerning the change to be made by Skattestyrelsen.
You are no longer employed, and will thus no longer be eligible for the researcher taxation scheme.
If you maintain your place of residence in Denmark
If you maintain your place of residence in Denmark during your leave, you will be liable to pay tax in Denmark on ordinary terms. If you subsequently find new employment, you cannot once again be eligible for the researcher taxation scheme (waiting period of ten years).
If you give up your place of residence in Denmark
If, during your leave and before the end of your term of employment, you give up your place of residence in Denmark, de-register from the Danish National Registration Office (Folkeregisteret) and notify Skattestyrelsen, as a general rule your tax liability in Denmark will lapse on the expiry of your employment. Please note that you are required to de-register from the Danish National Registration Office (Folkeregisteret). HR must contact Payroll concerning the change to be made by Skattestyrelsen.
If, during your leave, you do not receive maternity/paternity benefit during periods of unpaid leave, nor have any other income from Denmark, you will not be liable to pay tax in Denmark, and if you subsequently find new employment, you will once again be eligible for taxation under the researcher taxation scheme.
If, during your leave, you receive maternity/paternity benefit during periods of unpaid leave, you will have limited tax liability in Denmark, and it will not be possible for you to once again be taxed under the researcher taxation scheme if you subsequently find new employment or if your existing employment is extended.