Summary

Danish SAI conducted an audit of the activities of the Ministry of Taxation (the Ministry) and the Danish Tax Agency (the Agency) accountable to it for the effectiveness of control over the collection of excise duties. In particular, the auditors assessed the Agency's risk management and the effectiveness of control procedures for the collection of all types of excise duties (electricity levy, commodity charges, environmental charges, excise duty on gambling, etc). SAI concluded that the Ministry's control over the collection of excise duties was ineffective and risk management was insufficient. It is noted that in 2021, the Ministry strengthened its control effort. Certain areas, however, still require enhancement such as the selection of companies for inspection, which is not adequately risk based.