The Danish government will not extend electric cars’ exemption from registration tax, meaning electric cars priced above roughly 366,000 kroner would become more expensive from January 2027.
According to DR, ministers began revealing parts of the coming budget proposal on September 28, 2026. One element is a decision not to extend the electric-car exemption from registration tax once again.
DR reports that the change would make electric cars with a price tag above 366,000 kroner more expensive from 2027. The revenue is earmarked for free dental care, lower taxes and the transition of Danish agriculture.
Electric cars in Denmark are currently taxed at lower registration-tax rates than petrol and diesel cars. That advantage stems from an earlier political agreement intended to move more Danes into electric vehicles as part of the green transition.
How the phase-in would work
TV 2 reports that the tax-free threshold would fall from 419,300 kroner to 366,200 kroner. The tax would then be phased in by 8 percent annually towards 2030.
TV 2 attributes the decision partly to strong electric-car sales and the registration-tax revenue the state loses as a result. Cars priced below the threshold are not covered by the increase described in the reporting.
Car owners’ organization FDM has put numbers on the effect. As reported by DR, a Volkswagen ID.4 Style could face around 10,300 kroner more in tax, while a Tesla Model Y Long Range with four-wheel drive could rise by nearly 28,000 kroner.
Expert group has not yet reported
A gradual phase-in of registration tax on electric cars was originally planned from January 1, 2026. The 2026 budget agreement, struck last year between the then-government and De Konservative, postponed that increase by one year.
The same agreement set up an expert group to examine models for restructuring car taxation. Among its tasks was to outline concrete models for permanently abolishing registration tax on electric cars, according to DR.
That work has still not been published and is expected in the second half of 2026. Dansk Industri notes that the new government has not yet heard from the expert group.
Thomas Sørensen, director for the car sector at Dansk Industri, described raising electric-car taxes at the turn of the year as an own goal. He argued in a written comment that raising the old registration tax makes the expert group’s task unnecessarily complicated.
Mads Rørvig, managing director of the industry organization Mobility Denmark, said the proposal penalizes Danes who chose electric. In a press release, he said Danes have embraced the green transition while the government now wants to make popular electric models tens of thousands of kroner more expensive.
What higher electric-car taxes mean for internationals in Denmark
Registration tax, or registreringsafgift, is a one-off tax paid when a vehicle is first registered in Denmark. It is administered by Skattestyrelsen through the Motorregister, and for new cars bought at a dealership it is already built into the advertised price. That is why a change in the rules shows up directly on the price tag rather than as a separate bill, and it is one of the largest items in the total cost of owning a car in Denmark.
For foreign residents comparing car prices, the practical detail is the threshold. Based on the figures reported by TV 2, electric cars priced under 366,200 kroner stay outside the increase, while models above it would be affected from 2027. The FDM estimates cited by DR give an indication of the scale for two popular models, and higher purchase prices can also affect EV leasing and financing costs.
What is not yet settled is the final outcome. The measure is part of a budget proposal that must still be negotiated in the Folketinget, and the expert group’s recommendations on future car taxation have not been presented.
