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5.5. Source Rules with Respect to Income Derived by Non-Residents

Income earned by non-residents from sources in Greenland is subject to tax in the country. Taxes are collected through withholding tax which is deemed to be the final tax on such income.

The following income categories are considered to be derived from Greenland:

  • dividend fro¬m a public or private limited company or cooperative society, etc. which is registered or domiciled in Greenland;
  • income from professional services from a fixed place of business in Greenland, or presence in Greenland for at least 90 consecutive days to provide such services, or participation in such business or entitlement to a share in the revenue, profits, etc. from such business;
  • income from carrying out shipping or air transport operations in Greenland territory or regular traffic between a location in Greenlandic territory and a location outside Greenland, or participation in such business or are entitlement to a share in the revenue, profits, etc. of such business;
  • royalties from a source in Greenland;
  • income from hiring out or leasing out business operations in Greenland;
  • income from owning real property in Greenland or enjoying income therefrom, including through sale;
  • income from prospecting, exploration and exploitation of mineral resources, including seismic surveys, construction of pipelines, utility services and shipping and pipeline transport of recovered hydrocarbons carried out in Greenland, including in Greenlandic territorial waters and the Greenland continental shelf area by enterprises awarded a license under the Greenland Parliament Act on mineral resources and mineral resource activities; or
  • income from exploration and exploitation of mineral resources, including seismic surveys, construction of pipelines, utility services and shipping and pipeline transport of recovered hydrocarbons work carried out in Greenland, including in Greenlandic territorial waters and the Greenland continental shelf area under specific circumstances.