Repayment of VAT loans: How to create a repayment plan for up to 24 months without asking the tax office

In this blog, we show you how to create a repayment plan for up to 24 months that covers all your existing (Covid-19) VAT loans which are due in April 2022. The repayment plan can be created without contacting the tax office since the repayment function is already built into the tax office website SKAT Erhverv.

NB: The tax office charges a 0,7% interest per month – but if you have no alternative financing available, making a repayment plan can be a lifeline for your company and can help avoid potential bankruptcy.

 

 

1: Log in to SKAT Erhverv

First, you need to log in to SKAT Erhverv.

 

Step 1: Click “Log på” in the upper right corner of skat.dk

 

Step 2: Click “Log på som erhverv”.

 

Step 3: Click “Log på med NemID”.

 

Now log in with your NemID.

 

2: Create a new repayment plan

 

Step 4: Click “Skattekontoen” in the left sidebar menu.

 

Step 5: Click “Betalingsordning”.

 

Step 6: Click “Opret ny betalingsordning”.

 

NB: You can only have one active repayment plan at a time.

 

3: Choose the debts to be included in the repayment plan

 

Step 7: Choose the debt you want to include in the repayment plan by clicking the boxes to the left.

 

Step 8: Choose the repayment frequency. We recommend monthly (“Månedligt”).

 

Step 9: Choose the payment method. We recommend instalments (“Rater”).

 

Step 10: Now write how many months you want the repayment plan to last (“Antal rater”). The maximum is 24 months.

 

Step 11: And finally the date of the first payment (“Startdato”).

 

Step 12: Now click “Beregn” on the right bottom corner of the page.

 

Step 13: You will now see the suggested repayment dates and amounts. Check that the dates are fine with you.

 

Step 14: If you agree, click the box in the lower-left corner followed by the “Godkend” button to the right.

 

 

The repayment plan is now accepted.

 

4: The repayment plan is done – What is next?

We suggest creating all the payments in your internet banking system at once.

You need to use the payment ID for “Skattekontoen”.

This is the payment ID that starts with +71.

The same payment ID is used to pay VAT.

Also, we suggest setting a reminder on your phone to check that there is enough money deposited in the bank account when the amounts are due.

Should you fail to pay even one single instalment on time the whole repayment plan will be cancelled without any warning.

You will not be able to create a new repayment plan until after 30 days of cancellation.

If some of your debt in the meanwhile is sent to “Gældstyrelsen” (the government debt recovery office) then it cannot be part of a new repayment plan.

So it is very important to create the repayment plan before this happens and to pay all the instalments on time for the full duration of the repayment plan.

If your debt is already sent to “Gældsstyrelsen” you can call them at +45 70 15 73 04

You might still be able to agree on a repayment plan with them.

But it is much more difficult once they have the debt for recovery.

 

What if you cannot pay the VAT loans and are facing bankruptcy?

If you find yourself in the unfortunate situation that you are forced to declare bankruptcy, or if the tax office declares you bankrupt, then we have made a blog here that describes how that process is:

Link to blog about bankruptcy.

 

(Last update of this blog: 22.2.2022)