This article provides detailed information about the availability and regulatory conditions of sole proprietorship status in Greenland for 2025. It focuses on the official registration route, legal structure, and tax considerations as outlined by Greenlandic authorities.
Availability of Sole Proprietorship Status in Greenland
Greenland does not currently offer a special sole proprietorship status that provides simplified regimes or reduced taxation for small or individual entrepreneurs. Instead, individuals who wish to operate a business on their own can do so as a self-employed person (enkeltmandsvirksomhed), but must follow standard business registration and taxation requirements.
Key Features of Operating as a Sole Proprietor
| Aspect | Greenlandic Regulation (2025) |
|---|---|
| Special sole proprietorship status | Not available |
| Legal form for individuals | Self-employed (enkeltmandsvirksomhed) |
| Business registration authority | Greenlandic Business Register (Erhvervsregisteret) |
| Simplified/micro-entrepreneur regime | Not available |
| Business tax regime | Standard business tax rules apply (no reduced or flat-rate options) |
| Income taxation | Taxed under personal income tax rates |
Sole Proprietorship Registration Process
Individuals in Greenland must formally register their business with the Greenlandic Business Register. There is no streamlined application process or preferential treatment for micro or sole proprietors, and all businesses—regardless of size—are subject to the same registration and compliance requirements.
Conditions and Taxation
As of 2025, there is no official framework for reduced tax rates for self-employed individuals or sole proprietors. All operational income is treated as personal income and taxed according to the standard rates in Greenland. No flat-rate or simplified tax options currently exist for entrepreneurs who fall below certain sales thresholds.
Summary Table: Greenland Sole Proprietorship Key Points (2025)
| Item | Details |
|---|---|
| Is there a dedicated regime for sole proprietors? | No |
| Standard registration requirements | Yes (Erhvervsregisteret) |
| Flat tax or simplified income tax? | No |
| Personal income tax rates apply? | Yes (no special reduction for small businesses) |
Pro Tips for Sole Proprietors in Greenland
- Register your business promptly with the Greenlandic Business Register to ensure compliance and access to official documentation.
- Keep detailed records of all business activity and income, as no simplified tax regime exists. Accurate bookkeeping is essential for tax reporting.
- Consult the official Greenlandic government tax site for updates on applicable personal income tax rates and any potential changes to registration requirements: nanoq.gl.
- If considering self-employment, familiarize yourself with social contributions and business-related obligations to avoid surprises during tax season.
Official Resources
- Greenlandic Business Register (Erhvervsregisteret)
- Greenland Business Forms
- Greenlandic Tax Authority
For 2025, the main points to keep in mind are: Greenland does not offer a distinct or simplified sole proprietorship regime, business registration is required through the standard process, and all income is taxed under regular personal income tax rates. Accurate record-keeping and compliance with general business obligations remain essential for any self-employed individuals operating in Greenland.