The State Loses Significantly Less Money on Cross-Border Trade than Previously Assumed

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For the vast majority of Danish households, cross-border trade has no impact on the effect of taxes, study shows

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The Ministry of Taxation is overestimating how much the Danish state loses on VAT and taxes when Danes cross the border to Germany to buy candy, soda and beer. This is one of the conclusions of a new study from the University of Copenhagen, which indicates that cross-border trade does not destroy the effect of taxes for the vast majority of Danish consumers.