Denmark adopts CSRD law and raises annual-accounts size thresholds by about 25%
Denmark's Act no. 480 of 22 May 2024 implements the EU Corporate Sustainability Reporting Directive and raises the size thresholds in the Danish Financial Statements Act (årsregnskabsloven). The higher thresholds apply to financial years beginning on or after 1 January 2023, so more companies fall into lighter reporting classes. Sustainability reporting is phased in from 2024.
The Folketing adopted bill L 107 on 2 May 2024. It became Act no. 480 of 22 May 2024, amending the Danish Financial Statements Act (årsregnskabsloven), the Auditors Act (revisorloven) and other laws. Most of it came into force on 1 June 2024.
What changed
- Size thresholds for accounting classes rose by about 25%, in line with the EU directive adjusting size criteria. For small companies (class B), the balance sheet limit went from DKK 44 million to DKK 55 million and the revenue limit from DKK 89 million to DKK 111 million. For medium-sized companies, the limits went from DKK 156 million to DKK 195 million and from DKK 313 million to DKK 391 million.
- The new thresholds apply to financial years beginning on or after 1 January 2023, so calendar-year companies could use them for 2023 accounts approved after 1 June 2024.
- Sustainability reporting (CSRD): a new section 99 a requires a sustainability report in the management review. It is phased in on the CSRD timetable, with other large class C companies covered from financial years beginning on or after 1 January 2025. It replaces the old section 99 a report.
Who is affected
Danish companies near a size boundary, which may move down a class, and large and listed companies preparing their first sustainability reports.
What to do
Re-test each company's accounting class against the new thresholds, and plan sustainability reporting and assurance for companies in scope.
Later developments
Denmark transposed the EU 'stop-the-clock' directive on 2 December 2025, postponing the first reports for later waves. The EU's Omnibus I package has since narrowed the CSRD's scope. Check the current rules on Erhvervsstyrelsen's CSRD guidance before relying on the 2024 phasing.