Questions & answers

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What happens if I submit my compensation request too late?

 

Once we have received your request, we will calculate how much you should receive in compensation (for the whole year – 1st of January to the 31st of December). The total compensation will be distributed equally over the remaining months of the year.

If, for example, you submit the form in mid-March, your compensation will be spread over the remaining 9 months of the year.

 

Why can't I get compensation when I live abroad?

Compensation can only be calculated and paid to seafarers who pay tax in Denmark, according to Section 1 of the Act on Withholding Tax. Special rules apply for people from the Faroe Islands.

Even if you are resident in Sweden, and therefore not fully liable to tax in Denmark (according to the Øresund Agreement), you are taxed on your DIS-income. Exactly as if you were fully liable for tax in Denmark. Cross-border workers are covered by Section 5 A of Act on Withholding Tax.

 

How is the compensation calculated as regards to the spouse?

Spouses are taxed together when it comes to income, unused personal deductions, and any loss from own business. When it comes to both a direct compensation and Final Settlements, the spouse’s income and deductions are considered. Remember, that the spouse must also sign the request.

Can interest expenses be distributed as you wish when you are married?

Interest expenses and income must appear on the annual statement of the spouse who has the right to the income or the expense. This will be evident from loan documents, deeds etc.

If there are two signatures on a loan, the interest expense must be shared equally, unless otherwise stated. The compensation value will be the same here, as it does not matter where the expenses are incurred, because there is a so-called joint taxation.

Is it possible for me to have another income (for example when I am on shore) in addition to my DIS income?

 Yes, it is possible. But to avoid SKAT (The Danish Customs and Tax Administration) using your deductions twice (both on DIS income and on another), you should get yourself a new self-assessment from SKAT, type in all the information and email it to us in a PDF -formatH

Can I receive compensation if I have not submitted a request for compensation for previous years?

By submitting a request for compensation, we must collect your annual statement from the Danish Tax Agency for the current year and the 3 most recent income years. But generally, applications can only be submitted for the current income year.

What if I choose to set up a supplementary pension payment?

You can choose between two types of pension payment.

 You can either choose to be responsible for the payments yourself – here, however, you must ensure the payments are mentioned on the annual statement from the Danish Tax Agency (sections 21, 24 and 25).

Otherwise, you can choose to let your shipping company manage your pension. In this case, they deduct the payments from your salary and pay directly to the pension company and you do not have to deduct pension contributions from your annual statement.

 The pension payment will of course appear in the Final Settlement.

What is the number of DIS days used for?

According to the Danish Tax Agency, shipping companies must state the number of DIS days as the number of days for which DIS income has been received (including holiday and overtime). It should therefore be the same number of days written both on the annual statements and in the Final Settlements from us. The number of days is used by the Danish Tax Agency to calculate whether the seafarer gets the full benefit of the deduction – if both DIS income and other income are received. In the DIS income, the tax value of the personal allowance is included with a fixed value per DIS day.