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News in english 12. jun. 2012 KL. 16.46

Tax Minister removes controversial rule

Danes over 65 will be eligible for top end tax rebates.

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Tax Minister Thor Möger Pedersen has accepted that it is unreasonable that older employees should pay more tax than younger ones.

“I agree that it is unreasonable that those who could have taken out their pensions but have cosen to continue working do not benefit from increasing the level at which top-end tax is paid,” Möger Pedersen says.

One of the proposals in the government’s tax reform is to increase the level at which the tax has to be paid to DKK 58,000, but not for those over 65. The proposal has generated severe criticism, particularly from the older citizens organisation Ældre Sagen.

“As a society we should be happy that they are still working. So during the negotiations we must see if we can change it so that those who are working get the full benefit of the rebate,” Möger Pedersen says.

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Edited by Julian Isherwood