Danish Tax Agency Errors Affect 100,000 Apartment Valuations

If you own an apartment in Denmark, your official property valuation might be wrong. The Danish Tax Agency made errors in 100,000 final property valuations for 2022. This mistake affects about one-third of all owner-occupied apartments nationwide. The issue directly impacts upcoming property value tax calculations for 2024.

Danish broadcaster DR Nyheder uncovered the system glitch. Tax officials knew about the problem internally since spring. For about 20,000 apartments, the valuation error exceeds 20 percent. Legal experts call this a serious flaw in the system.

The Tax Agency says the remaining 80,000 valuations fall within normal margins. However, several economists criticized that statement. The error happened when officials tried to fix a different calculation model. The agency stopped sending notices in spring after receiving warnings from homeowners.

It has now resumed sending out valuations using an updated model. Agency director Anne-Sofie Jensen called the error regrettable. She stated that officials are working on a fix for affected owners. The agency will contact impacted flat owners directly. It is still unclear how tax amounts will change in Danish kroner.