Is anyone of your friends taking care of your tax mattersbull In Finland you will always have a true friend that helps you with tax matters and removes

uncertainty around open tax issuesbull A dedicated team of experts provides you with individualised real-time support

free of charge startupsverofibull Please check our website wwwtaxfi for the latest breaking news in Finnish taxationbull This Tax survival kit gives an insight into the most essential tax facts in Finland

that will help you conquer the worldrsquos markets

Basic informationbull Currency in Finland Euro (EUReuro)bull Standards for accounting and financial statements Finnish Accounting Standards (FAS) International

Financial Reporting Standards (IFRS mandatory for listed companies)bull We recommend using a professional accountant to take care of your accounting and reporting obligations bull Corporate forms limited liability company general partnership limited partnership co-operative private

trader branch of foreign company bull Technology superpower In the home country of Nokia Rovio Supercell and many other awesome game

changers you will be able to manage most of your tax matters online by using our world-class e-services in MyTax

Other top-notch public services available free of chargebull Business Finland ndash accelerator for global growth innovation funding exports and invest-in

wwwbusinessfinlandfi bull See also Invest-in facts about Finland httpswwwinvestinfinlandfipublications bull Set up a company andor take care of your most valuable intangible assets

httpswwwprhfienindexhtml (business registration and IPR protection)bull Your entry to working and settling in Helsinki area wwwihhelsinkifi bull Soft landing services access to financing piloting platforms matchmaking business information etc

are available in many regions and cities in Finland (for instance in Helsinki wwwhelsinkibusinesshubfi and httpsnewcohelsinkifien)

A good friend holds a surprise party for youA true friend makes sure there will be no tax surprises

FINNISH TAX ADMINISTRATION

Your true friendin Europe

Tax survival kit

1

Tax survival kit

Income tax rate for limited liability compa-nies and other corporate entities 20Business income received by partnerships and pri-vate traders (self-employed individuals) on the other hand is divided into earned income and capital income (see Individual taxation)

Tax liabilityFinnish residents are taxed on their worldwide income A company is resident if it is registered or established under Finnish law

Foreign companyrsquos tax liability in FinlandAs a main rule foreign companies are liable to pay As a main rule foreign companies are liable to pay income tax in Finland if they have a permanent establishment in Finland For example a branch or a place of management can form a permanent estab-lishment in income taxation

Taxable incomeCorporate tax is paid on the companyrsquos profit When taxable income exceeds deductible expenses the profit is subject to income tax As a main rule expenses that are incurred for business purposes are deductible such as purchases RampD expenses depreciations wages and financing expenses (the deductibility of intra-group interests is limited) If deductible expenses exceed taxable income the loss will be carried forward to future years

Losses in taxationTax losses are carried forward and offset against tax-able income within the next 10 tax years

Group contribution within group companiesGroup companies may even out their taxable profits and losses under the preconditions set out by law (ldquogroup contributionrdquo)

Interest deduction limitationsFinland has implemented interest limitation rules in accordance with EU regulations Net interest ex-pense is fully deductible up to euro500000 Interest expense exceeding this amount is deductible only up to 25 of the adjusted taxable income (EBITDA) However there is a balance sheet exemption if the company fulfills a balance sheet ratio (equityassets) test Under this exemption all interest expenses are deductible

DividendsDividends received by a Finnish company are with certain exceptions exempt from tax when the com-pany paying the dividend is a resident in Finland or in another EUEEA country Shareholders of a limited liability company are not taxed until they start with-drawing income from the limited liability company in the form of wages or dividends The distribution of dividends does not cause tax consequences in the distributing company (although requirements to withhold tax may arise)

Participation exemptionCapital gains from the sales of shares are tax-free if the shares belong to fixed assets the seller company owns at least 10 of the share capital of the entity and the shares have been held for at least one year However this does not apply to real estate compa-nies housing companies or companies whose main function is to own real estate If the capital gain from the sale of shares is tax-free correspondingly the capital loss from the sale is non-deductible A fixed asset is an item that is not purchased with the intent of immediate resale but rather for productive use within the company

Corporate taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 2

Income from abroadForeign-sourced income may be taxable in the source country as well as in Finland which may lead to double taxation situation In the assessment of corporate income tax the Finnish Tax Administration generally eliminates double taxation with a credit method This means that foreign-sourced income is taxed in Finland but the tax paid on the income abroad is deducted ndash ie credit is granted for it Finnish tax laws determine the maximum available credit Taxes that exceed the maximum credit can be used later during the five following years for any taxes payable on foreign income of the same type or source within the limits of maximum available credit

Tax treatiesFinland has a comprehensive network of tax treaties Finland has signed income tax treaties with more than 70 countries (as of 2019) You can check Fin-landrsquos current situation regarding tax treaties from the Tax treaties page on wwwtaxfi

Transfer pricingTransfer pricing is based on the armrsquos length princi-ple intra-group transactions must be based on the same terms as those used for transactions between unrelated companies For instance the sale of goods provision of services compensation paid for the use of immaterial rights the sale of intangibles and financing are intra-group transactions The Finn-ish Tax Administration follows the approach of the OECD Guidelines for Transfer Pricing

Tax returns and payment of taxes (limited liability companies)A limited liability company must file a tax return within 4 months from the end of the last calendar month of its accounting period The tax return is rec-ommended to be filed electronically which is easy to do in the MyTax online service

Tax yearThe financial year of a company If two or more fi-nancial years end during the same calendar year the years are combined for tax purposes

VAT is paid on the sales of goods and services The VAT basis is the price received from selling goods or services The standard VAT rate is 24 Finland has two reduced VAT rates 14 and 10 There are also zero-rate sales plus certain goods and services are exempt from VAT

VAT rate Goods and services covered by the VAT rates (examples)

24 Standard

14 Food restaurant and catering services

(alcohol 24)

10 Passenger transport books certain services

related to sporting accommodation

0 Sales of goods and services to other EU

Member States and exports of goods

Exempt from VATSocial healthcare medical services public educa-tion and similar services financial and insurance services

Registration for VAT All companies with VAT liable operations whose turn-over subject to VAT exceeds euro10000 per accounting period must be registered for VAT Companies usually enter the VAT register when they file their start-up notification but it can also be done later Notifi-cation forms are available online on the Business Information System website (wwwytjfi)

Filing and paying VAT Companies that are registered for VAT must regularly file VAT returns Returns can be filed in the MyTax e-service Companies must calculate file and pay VAT on a monthly basis in MyTax at their own initia-tive The tax period is usually one calendar month The general due date is the 12th day of the second month following the return period If the companyrsquos turnover is no more than euro100000 per calendar year VAT can be filed and paid in quarterly periods If turnover is no more than euro30000 VAT can be filed and paid by calendar year

Tax survival kit

Corporate taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe

Value added taxation

3

Value-added taxation

Tax period Turnover threshold Tax period example Due date for tax return and payment

Calendar month No turnover threshold 12020 12 March 2020

Calendar quarter Max euro100000 1-32020 12 May 2020

Calendar year Max euro30000 1-122020 1 March 2021

Because 28 February 2021 is a Sunday the return and the payment must arrive at the Tax Administration on the next business day Monday 1 March 2021

Principles of VATVAT is ultimately paid by the end consumer Companies act as the collectors and remitters of VAT by paying the VAT on their sales and by deducting VAT from their purchases relating to VAT liable operations The chart below demonstrates a simple chain of sales reflecting the logic of VAT when filing and payment are allocated between different companies

Company 1 Company 2 Company 3 End consumerSales = euro40 + VAT euro960 Purchases = euro0 + VAT euro0

Sales = euro100 + VAT euro24 Purchases = euro40 + VAT euro960

Sales = euro200 + VAT euro48 Purchases = euro100 + VAT euro24

bull Pays the transac-tion price of euro248 including VAT to company 3

bull Does not separately file or pay the VAT

bull The VAT amount has been specified in the receipt

Filing and payment Filing and payment Filing and paymentVAT on sales 24 euro960Deductible VAT euro0VAT payable and payment to the State euro960

VAT on sales 24 euro24 Deductible VAT euro960 VAT payable and payment to the State euro1440

VAT on sales 24 euro48 Deductible VAT euro24 VAT payable and payment to the State euro24

Tax Administration State receivesThe VAT accrued by the State is in total euro960 + euro1440 + euro24 = euro48 This corresponds the amount of VAT that the

consumer pays when buying the product

In certain situations ndash for instance when a company exports products from Finland to third countries ndash deductible VAT may exceed payable VAT In these circumstances the company receives deductible VAT on their tax account Example A company purchases products in Finland from Finnish producer The deductible VAT is 100 euro All products are then exported to third countries Because exports are taxed at 0 VAT the com-panyrsquos VAT account will only contain the deductible VAT which means that the company receives a refund from the Tax Administration

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 4

Being an employerbull Regular employers must register into the Tax

Administrationrsquos register of employers bull A company acting as an employer is obligated to

withhold tax and health insurance contributions from the employeersquos wage or salary and remit them to the Tax Administration

bull In addition an employer needs to arrange man-datory insurance contracts for employees in-cluding a pension insurance contract as defined by law Pension and insurance contributions are paid to the insurance companies selected by the employer

bull Tax withholding is based on the tax card or tax-at-source card that the employee has provided to the employer

bull From the beginning of 2019 employers must report earned income details to the Incomes Register within five days from the payment (read more wwwtaxfi)

bull Employers can pay tax-exempt travel expense allowances if certain conditions are met

bull Fringe benefits (phones cars etc) are consid-ered taxable earned income

bull When a Finnish employee works abroad their do-mestic employer still has obligations in Finland

bull When a foreign employee arrives in Finland their taxpayer status (eg residency) must be taken into account in tax assessment

Individual taxation

Resident taxpayersIn general a private person is a resident taxpayer in Finland if their home and place of residence is in Finland In addition any person who stays in Finland for longer than 6 months is considered a resident for tax purposes A resident taxpayer pays income tax to Finland on the income they received from anywhere in the world This may be limited by a tax treaty if the person is also a resident in another country

Earned income (eg salaries and wages) is subject to progressive state income tax municipal income tax and the health insurance contribution The employ-er withholds these payments from the employeersquos pay according the tax rate stated on the employeersquos tax card Tax tip The tax percentage calculator (taxfitaxcalculator) is a useful tool for estimating the amount of taxes on certain income In addition em-ployer withholds pension and unemployment insur-ance premiums (approximately 840) from the pay

Example of a person living in Helsinki (2019)yearlysalary

taxrate

pension amp unemployment insurance contributions (2019)

euro30000 125 840euro50000 220 840euro100000 320 840

Capital income (eg capital gains dividends rental income) are subject to tax at the rate of 30 tax or 34 on the part exceeding euro30000

Key employees arriving from abroad can apply for a flat-rate tax of 32 instead of progressive income tax However this requires a monthly salary of at least euro5800

Non-resident taxpayersA private person is a non-resident taxpayer in Fin-land if they live abroad and stay in Finland for 6 months or less A non-resident taxpayer pays income tax in Finland only on income received from Finland However Finlandrsquos right to tax may be limited by a tax treaty

Earned income (eg salaries and wages) received by a non-resident taxpayer is subject to tax at source (35) However if the personrsquos country of residence is another EU country Norway Iceland or Liechten-stein or a country that has a tax treaty with Finland the person can request to be taxed progressivelyCapital income (eg dividends) is generally subject to tax at source (30) but tax treaties typically nar-row it down to 0ndash15

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 5

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Tax survival kit

Income tax rate for limited liability compa-nies and other corporate entities 20Business income received by partnerships and pri-vate traders (self-employed individuals) on the other hand is divided into earned income and capital income (see Individual taxation)

Tax liabilityFinnish residents are taxed on their worldwide income A company is resident if it is registered or established under Finnish law

Foreign companyrsquos tax liability in FinlandAs a main rule foreign companies are liable to pay As a main rule foreign companies are liable to pay income tax in Finland if they have a permanent establishment in Finland For example a branch or a place of management can form a permanent estab-lishment in income taxation

Taxable incomeCorporate tax is paid on the companyrsquos profit When taxable income exceeds deductible expenses the profit is subject to income tax As a main rule expenses that are incurred for business purposes are deductible such as purchases RampD expenses depreciations wages and financing expenses (the deductibility of intra-group interests is limited) If deductible expenses exceed taxable income the loss will be carried forward to future years

Losses in taxationTax losses are carried forward and offset against tax-able income within the next 10 tax years

Group contribution within group companiesGroup companies may even out their taxable profits and losses under the preconditions set out by law (ldquogroup contributionrdquo)

Interest deduction limitationsFinland has implemented interest limitation rules in accordance with EU regulations Net interest ex-pense is fully deductible up to euro500000 Interest expense exceeding this amount is deductible only up to 25 of the adjusted taxable income (EBITDA) However there is a balance sheet exemption if the company fulfills a balance sheet ratio (equityassets) test Under this exemption all interest expenses are deductible

DividendsDividends received by a Finnish company are with certain exceptions exempt from tax when the com-pany paying the dividend is a resident in Finland or in another EUEEA country Shareholders of a limited liability company are not taxed until they start with-drawing income from the limited liability company in the form of wages or dividends The distribution of dividends does not cause tax consequences in the distributing company (although requirements to withhold tax may arise)

Participation exemptionCapital gains from the sales of shares are tax-free if the shares belong to fixed assets the seller company owns at least 10 of the share capital of the entity and the shares have been held for at least one year However this does not apply to real estate compa-nies housing companies or companies whose main function is to own real estate If the capital gain from the sale of shares is tax-free correspondingly the capital loss from the sale is non-deductible A fixed asset is an item that is not purchased with the intent of immediate resale but rather for productive use within the company

Corporate taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 2

Income from abroadForeign-sourced income may be taxable in the source country as well as in Finland which may lead to double taxation situation In the assessment of corporate income tax the Finnish Tax Administration generally eliminates double taxation with a credit method This means that foreign-sourced income is taxed in Finland but the tax paid on the income abroad is deducted ndash ie credit is granted for it Finnish tax laws determine the maximum available credit Taxes that exceed the maximum credit can be used later during the five following years for any taxes payable on foreign income of the same type or source within the limits of maximum available credit

Tax treatiesFinland has a comprehensive network of tax treaties Finland has signed income tax treaties with more than 70 countries (as of 2019) You can check Fin-landrsquos current situation regarding tax treaties from the Tax treaties page on wwwtaxfi

Transfer pricingTransfer pricing is based on the armrsquos length princi-ple intra-group transactions must be based on the same terms as those used for transactions between unrelated companies For instance the sale of goods provision of services compensation paid for the use of immaterial rights the sale of intangibles and financing are intra-group transactions The Finn-ish Tax Administration follows the approach of the OECD Guidelines for Transfer Pricing

Tax returns and payment of taxes (limited liability companies)A limited liability company must file a tax return within 4 months from the end of the last calendar month of its accounting period The tax return is rec-ommended to be filed electronically which is easy to do in the MyTax online service

Tax yearThe financial year of a company If two or more fi-nancial years end during the same calendar year the years are combined for tax purposes

VAT is paid on the sales of goods and services The VAT basis is the price received from selling goods or services The standard VAT rate is 24 Finland has two reduced VAT rates 14 and 10 There are also zero-rate sales plus certain goods and services are exempt from VAT

VAT rate Goods and services covered by the VAT rates (examples)

24 Standard

14 Food restaurant and catering services

(alcohol 24)

10 Passenger transport books certain services

related to sporting accommodation

0 Sales of goods and services to other EU

Member States and exports of goods

Exempt from VATSocial healthcare medical services public educa-tion and similar services financial and insurance services

Registration for VAT All companies with VAT liable operations whose turn-over subject to VAT exceeds euro10000 per accounting period must be registered for VAT Companies usually enter the VAT register when they file their start-up notification but it can also be done later Notifi-cation forms are available online on the Business Information System website (wwwytjfi)

Filing and paying VAT Companies that are registered for VAT must regularly file VAT returns Returns can be filed in the MyTax e-service Companies must calculate file and pay VAT on a monthly basis in MyTax at their own initia-tive The tax period is usually one calendar month The general due date is the 12th day of the second month following the return period If the companyrsquos turnover is no more than euro100000 per calendar year VAT can be filed and paid in quarterly periods If turnover is no more than euro30000 VAT can be filed and paid by calendar year

Tax survival kit

Corporate taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe

Value added taxation

3

Value-added taxation

Tax period Turnover threshold Tax period example Due date for tax return and payment

Calendar month No turnover threshold 12020 12 March 2020

Calendar quarter Max euro100000 1-32020 12 May 2020

Calendar year Max euro30000 1-122020 1 March 2021

Because 28 February 2021 is a Sunday the return and the payment must arrive at the Tax Administration on the next business day Monday 1 March 2021

Principles of VATVAT is ultimately paid by the end consumer Companies act as the collectors and remitters of VAT by paying the VAT on their sales and by deducting VAT from their purchases relating to VAT liable operations The chart below demonstrates a simple chain of sales reflecting the logic of VAT when filing and payment are allocated between different companies

Company 1 Company 2 Company 3 End consumerSales = euro40 + VAT euro960 Purchases = euro0 + VAT euro0

Sales = euro100 + VAT euro24 Purchases = euro40 + VAT euro960

Sales = euro200 + VAT euro48 Purchases = euro100 + VAT euro24

bull Pays the transac-tion price of euro248 including VAT to company 3

bull Does not separately file or pay the VAT

bull The VAT amount has been specified in the receipt

Filing and payment Filing and payment Filing and paymentVAT on sales 24 euro960Deductible VAT euro0VAT payable and payment to the State euro960

VAT on sales 24 euro24 Deductible VAT euro960 VAT payable and payment to the State euro1440

VAT on sales 24 euro48 Deductible VAT euro24 VAT payable and payment to the State euro24

Tax Administration State receivesThe VAT accrued by the State is in total euro960 + euro1440 + euro24 = euro48 This corresponds the amount of VAT that the

consumer pays when buying the product

In certain situations ndash for instance when a company exports products from Finland to third countries ndash deductible VAT may exceed payable VAT In these circumstances the company receives deductible VAT on their tax account Example A company purchases products in Finland from Finnish producer The deductible VAT is 100 euro All products are then exported to third countries Because exports are taxed at 0 VAT the com-panyrsquos VAT account will only contain the deductible VAT which means that the company receives a refund from the Tax Administration

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 4

Being an employerbull Regular employers must register into the Tax

Administrationrsquos register of employers bull A company acting as an employer is obligated to

withhold tax and health insurance contributions from the employeersquos wage or salary and remit them to the Tax Administration

bull In addition an employer needs to arrange man-datory insurance contracts for employees in-cluding a pension insurance contract as defined by law Pension and insurance contributions are paid to the insurance companies selected by the employer

bull Tax withholding is based on the tax card or tax-at-source card that the employee has provided to the employer

bull From the beginning of 2019 employers must report earned income details to the Incomes Register within five days from the payment (read more wwwtaxfi)

bull Employers can pay tax-exempt travel expense allowances if certain conditions are met

bull Fringe benefits (phones cars etc) are consid-ered taxable earned income

bull When a Finnish employee works abroad their do-mestic employer still has obligations in Finland

bull When a foreign employee arrives in Finland their taxpayer status (eg residency) must be taken into account in tax assessment

Individual taxation

Resident taxpayersIn general a private person is a resident taxpayer in Finland if their home and place of residence is in Finland In addition any person who stays in Finland for longer than 6 months is considered a resident for tax purposes A resident taxpayer pays income tax to Finland on the income they received from anywhere in the world This may be limited by a tax treaty if the person is also a resident in another country

Earned income (eg salaries and wages) is subject to progressive state income tax municipal income tax and the health insurance contribution The employ-er withholds these payments from the employeersquos pay according the tax rate stated on the employeersquos tax card Tax tip The tax percentage calculator (taxfitaxcalculator) is a useful tool for estimating the amount of taxes on certain income In addition em-ployer withholds pension and unemployment insur-ance premiums (approximately 840) from the pay

Example of a person living in Helsinki (2019)yearlysalary

taxrate

pension amp unemployment insurance contributions (2019)

euro30000 125 840euro50000 220 840euro100000 320 840

Capital income (eg capital gains dividends rental income) are subject to tax at the rate of 30 tax or 34 on the part exceeding euro30000

Key employees arriving from abroad can apply for a flat-rate tax of 32 instead of progressive income tax However this requires a monthly salary of at least euro5800

Non-resident taxpayersA private person is a non-resident taxpayer in Fin-land if they live abroad and stay in Finland for 6 months or less A non-resident taxpayer pays income tax in Finland only on income received from Finland However Finlandrsquos right to tax may be limited by a tax treaty

Earned income (eg salaries and wages) received by a non-resident taxpayer is subject to tax at source (35) However if the personrsquos country of residence is another EU country Norway Iceland or Liechten-stein or a country that has a tax treaty with Finland the person can request to be taxed progressivelyCapital income (eg dividends) is generally subject to tax at source (30) but tax treaties typically nar-row it down to 0ndash15

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 5

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Income from abroadForeign-sourced income may be taxable in the source country as well as in Finland which may lead to double taxation situation In the assessment of corporate income tax the Finnish Tax Administration generally eliminates double taxation with a credit method This means that foreign-sourced income is taxed in Finland but the tax paid on the income abroad is deducted ndash ie credit is granted for it Finnish tax laws determine the maximum available credit Taxes that exceed the maximum credit can be used later during the five following years for any taxes payable on foreign income of the same type or source within the limits of maximum available credit

Tax treatiesFinland has a comprehensive network of tax treaties Finland has signed income tax treaties with more than 70 countries (as of 2019) You can check Fin-landrsquos current situation regarding tax treaties from the Tax treaties page on wwwtaxfi

Transfer pricingTransfer pricing is based on the armrsquos length princi-ple intra-group transactions must be based on the same terms as those used for transactions between unrelated companies For instance the sale of goods provision of services compensation paid for the use of immaterial rights the sale of intangibles and financing are intra-group transactions The Finn-ish Tax Administration follows the approach of the OECD Guidelines for Transfer Pricing

Tax returns and payment of taxes (limited liability companies)A limited liability company must file a tax return within 4 months from the end of the last calendar month of its accounting period The tax return is rec-ommended to be filed electronically which is easy to do in the MyTax online service

Tax yearThe financial year of a company If two or more fi-nancial years end during the same calendar year the years are combined for tax purposes

VAT is paid on the sales of goods and services The VAT basis is the price received from selling goods or services The standard VAT rate is 24 Finland has two reduced VAT rates 14 and 10 There are also zero-rate sales plus certain goods and services are exempt from VAT

VAT rate Goods and services covered by the VAT rates (examples)

24 Standard

14 Food restaurant and catering services

(alcohol 24)

10 Passenger transport books certain services

related to sporting accommodation

0 Sales of goods and services to other EU

Member States and exports of goods

Exempt from VATSocial healthcare medical services public educa-tion and similar services financial and insurance services

Registration for VAT All companies with VAT liable operations whose turn-over subject to VAT exceeds euro10000 per accounting period must be registered for VAT Companies usually enter the VAT register when they file their start-up notification but it can also be done later Notifi-cation forms are available online on the Business Information System website (wwwytjfi)

Filing and paying VAT Companies that are registered for VAT must regularly file VAT returns Returns can be filed in the MyTax e-service Companies must calculate file and pay VAT on a monthly basis in MyTax at their own initia-tive The tax period is usually one calendar month The general due date is the 12th day of the second month following the return period If the companyrsquos turnover is no more than euro100000 per calendar year VAT can be filed and paid in quarterly periods If turnover is no more than euro30000 VAT can be filed and paid by calendar year

Tax survival kit

Corporate taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe

Value added taxation

3

Value-added taxation

Tax period Turnover threshold Tax period example Due date for tax return and payment

Calendar month No turnover threshold 12020 12 March 2020

Calendar quarter Max euro100000 1-32020 12 May 2020

Calendar year Max euro30000 1-122020 1 March 2021

Because 28 February 2021 is a Sunday the return and the payment must arrive at the Tax Administration on the next business day Monday 1 March 2021

Principles of VATVAT is ultimately paid by the end consumer Companies act as the collectors and remitters of VAT by paying the VAT on their sales and by deducting VAT from their purchases relating to VAT liable operations The chart below demonstrates a simple chain of sales reflecting the logic of VAT when filing and payment are allocated between different companies

Company 1 Company 2 Company 3 End consumerSales = euro40 + VAT euro960 Purchases = euro0 + VAT euro0

Sales = euro100 + VAT euro24 Purchases = euro40 + VAT euro960

Sales = euro200 + VAT euro48 Purchases = euro100 + VAT euro24

bull Pays the transac-tion price of euro248 including VAT to company 3

bull Does not separately file or pay the VAT

bull The VAT amount has been specified in the receipt

Filing and payment Filing and payment Filing and paymentVAT on sales 24 euro960Deductible VAT euro0VAT payable and payment to the State euro960

VAT on sales 24 euro24 Deductible VAT euro960 VAT payable and payment to the State euro1440

VAT on sales 24 euro48 Deductible VAT euro24 VAT payable and payment to the State euro24

Tax Administration State receivesThe VAT accrued by the State is in total euro960 + euro1440 + euro24 = euro48 This corresponds the amount of VAT that the

consumer pays when buying the product

In certain situations ndash for instance when a company exports products from Finland to third countries ndash deductible VAT may exceed payable VAT In these circumstances the company receives deductible VAT on their tax account Example A company purchases products in Finland from Finnish producer The deductible VAT is 100 euro All products are then exported to third countries Because exports are taxed at 0 VAT the com-panyrsquos VAT account will only contain the deductible VAT which means that the company receives a refund from the Tax Administration

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 4

Being an employerbull Regular employers must register into the Tax

Administrationrsquos register of employers bull A company acting as an employer is obligated to

withhold tax and health insurance contributions from the employeersquos wage or salary and remit them to the Tax Administration

bull In addition an employer needs to arrange man-datory insurance contracts for employees in-cluding a pension insurance contract as defined by law Pension and insurance contributions are paid to the insurance companies selected by the employer

bull Tax withholding is based on the tax card or tax-at-source card that the employee has provided to the employer

bull From the beginning of 2019 employers must report earned income details to the Incomes Register within five days from the payment (read more wwwtaxfi)

bull Employers can pay tax-exempt travel expense allowances if certain conditions are met

bull Fringe benefits (phones cars etc) are consid-ered taxable earned income

bull When a Finnish employee works abroad their do-mestic employer still has obligations in Finland

bull When a foreign employee arrives in Finland their taxpayer status (eg residency) must be taken into account in tax assessment

Individual taxation

Resident taxpayersIn general a private person is a resident taxpayer in Finland if their home and place of residence is in Finland In addition any person who stays in Finland for longer than 6 months is considered a resident for tax purposes A resident taxpayer pays income tax to Finland on the income they received from anywhere in the world This may be limited by a tax treaty if the person is also a resident in another country

Earned income (eg salaries and wages) is subject to progressive state income tax municipal income tax and the health insurance contribution The employ-er withholds these payments from the employeersquos pay according the tax rate stated on the employeersquos tax card Tax tip The tax percentage calculator (taxfitaxcalculator) is a useful tool for estimating the amount of taxes on certain income In addition em-ployer withholds pension and unemployment insur-ance premiums (approximately 840) from the pay

Example of a person living in Helsinki (2019)yearlysalary

taxrate

pension amp unemployment insurance contributions (2019)

euro30000 125 840euro50000 220 840euro100000 320 840

Capital income (eg capital gains dividends rental income) are subject to tax at the rate of 30 tax or 34 on the part exceeding euro30000

Key employees arriving from abroad can apply for a flat-rate tax of 32 instead of progressive income tax However this requires a monthly salary of at least euro5800

Non-resident taxpayersA private person is a non-resident taxpayer in Fin-land if they live abroad and stay in Finland for 6 months or less A non-resident taxpayer pays income tax in Finland only on income received from Finland However Finlandrsquos right to tax may be limited by a tax treaty

Earned income (eg salaries and wages) received by a non-resident taxpayer is subject to tax at source (35) However if the personrsquos country of residence is another EU country Norway Iceland or Liechten-stein or a country that has a tax treaty with Finland the person can request to be taxed progressivelyCapital income (eg dividends) is generally subject to tax at source (30) but tax treaties typically nar-row it down to 0ndash15

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 5

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Value-added taxation

Tax period Turnover threshold Tax period example Due date for tax return and payment

Calendar month No turnover threshold 12020 12 March 2020

Calendar quarter Max euro100000 1-32020 12 May 2020

Calendar year Max euro30000 1-122020 1 March 2021

Because 28 February 2021 is a Sunday the return and the payment must arrive at the Tax Administration on the next business day Monday 1 March 2021

Principles of VATVAT is ultimately paid by the end consumer Companies act as the collectors and remitters of VAT by paying the VAT on their sales and by deducting VAT from their purchases relating to VAT liable operations The chart below demonstrates a simple chain of sales reflecting the logic of VAT when filing and payment are allocated between different companies

Company 1 Company 2 Company 3 End consumerSales = euro40 + VAT euro960 Purchases = euro0 + VAT euro0

Sales = euro100 + VAT euro24 Purchases = euro40 + VAT euro960

Sales = euro200 + VAT euro48 Purchases = euro100 + VAT euro24

bull Pays the transac-tion price of euro248 including VAT to company 3

bull Does not separately file or pay the VAT

bull The VAT amount has been specified in the receipt

Filing and payment Filing and payment Filing and paymentVAT on sales 24 euro960Deductible VAT euro0VAT payable and payment to the State euro960

VAT on sales 24 euro24 Deductible VAT euro960 VAT payable and payment to the State euro1440

VAT on sales 24 euro48 Deductible VAT euro24 VAT payable and payment to the State euro24

Tax Administration State receivesThe VAT accrued by the State is in total euro960 + euro1440 + euro24 = euro48 This corresponds the amount of VAT that the

consumer pays when buying the product

In certain situations ndash for instance when a company exports products from Finland to third countries ndash deductible VAT may exceed payable VAT In these circumstances the company receives deductible VAT on their tax account Example A company purchases products in Finland from Finnish producer The deductible VAT is 100 euro All products are then exported to third countries Because exports are taxed at 0 VAT the com-panyrsquos VAT account will only contain the deductible VAT which means that the company receives a refund from the Tax Administration

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 4

Being an employerbull Regular employers must register into the Tax

Administrationrsquos register of employers bull A company acting as an employer is obligated to

withhold tax and health insurance contributions from the employeersquos wage or salary and remit them to the Tax Administration

bull In addition an employer needs to arrange man-datory insurance contracts for employees in-cluding a pension insurance contract as defined by law Pension and insurance contributions are paid to the insurance companies selected by the employer

bull Tax withholding is based on the tax card or tax-at-source card that the employee has provided to the employer

bull From the beginning of 2019 employers must report earned income details to the Incomes Register within five days from the payment (read more wwwtaxfi)

bull Employers can pay tax-exempt travel expense allowances if certain conditions are met

bull Fringe benefits (phones cars etc) are consid-ered taxable earned income

bull When a Finnish employee works abroad their do-mestic employer still has obligations in Finland

bull When a foreign employee arrives in Finland their taxpayer status (eg residency) must be taken into account in tax assessment

Individual taxation

Resident taxpayersIn general a private person is a resident taxpayer in Finland if their home and place of residence is in Finland In addition any person who stays in Finland for longer than 6 months is considered a resident for tax purposes A resident taxpayer pays income tax to Finland on the income they received from anywhere in the world This may be limited by a tax treaty if the person is also a resident in another country

Earned income (eg salaries and wages) is subject to progressive state income tax municipal income tax and the health insurance contribution The employ-er withholds these payments from the employeersquos pay according the tax rate stated on the employeersquos tax card Tax tip The tax percentage calculator (taxfitaxcalculator) is a useful tool for estimating the amount of taxes on certain income In addition em-ployer withholds pension and unemployment insur-ance premiums (approximately 840) from the pay

Example of a person living in Helsinki (2019)yearlysalary

taxrate

pension amp unemployment insurance contributions (2019)

euro30000 125 840euro50000 220 840euro100000 320 840

Capital income (eg capital gains dividends rental income) are subject to tax at the rate of 30 tax or 34 on the part exceeding euro30000

Key employees arriving from abroad can apply for a flat-rate tax of 32 instead of progressive income tax However this requires a monthly salary of at least euro5800

Non-resident taxpayersA private person is a non-resident taxpayer in Fin-land if they live abroad and stay in Finland for 6 months or less A non-resident taxpayer pays income tax in Finland only on income received from Finland However Finlandrsquos right to tax may be limited by a tax treaty

Earned income (eg salaries and wages) received by a non-resident taxpayer is subject to tax at source (35) However if the personrsquos country of residence is another EU country Norway Iceland or Liechten-stein or a country that has a tax treaty with Finland the person can request to be taxed progressivelyCapital income (eg dividends) is generally subject to tax at source (30) but tax treaties typically nar-row it down to 0ndash15

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 5

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Being an employerbull Regular employers must register into the Tax

Administrationrsquos register of employers bull A company acting as an employer is obligated to

withhold tax and health insurance contributions from the employeersquos wage or salary and remit them to the Tax Administration

bull In addition an employer needs to arrange man-datory insurance contracts for employees in-cluding a pension insurance contract as defined by law Pension and insurance contributions are paid to the insurance companies selected by the employer

bull Tax withholding is based on the tax card or tax-at-source card that the employee has provided to the employer

bull From the beginning of 2019 employers must report earned income details to the Incomes Register within five days from the payment (read more wwwtaxfi)

bull Employers can pay tax-exempt travel expense allowances if certain conditions are met

bull Fringe benefits (phones cars etc) are consid-ered taxable earned income

bull When a Finnish employee works abroad their do-mestic employer still has obligations in Finland

bull When a foreign employee arrives in Finland their taxpayer status (eg residency) must be taken into account in tax assessment

Individual taxation

Resident taxpayersIn general a private person is a resident taxpayer in Finland if their home and place of residence is in Finland In addition any person who stays in Finland for longer than 6 months is considered a resident for tax purposes A resident taxpayer pays income tax to Finland on the income they received from anywhere in the world This may be limited by a tax treaty if the person is also a resident in another country

Earned income (eg salaries and wages) is subject to progressive state income tax municipal income tax and the health insurance contribution The employ-er withholds these payments from the employeersquos pay according the tax rate stated on the employeersquos tax card Tax tip The tax percentage calculator (taxfitaxcalculator) is a useful tool for estimating the amount of taxes on certain income In addition em-ployer withholds pension and unemployment insur-ance premiums (approximately 840) from the pay

Example of a person living in Helsinki (2019)yearlysalary

taxrate

pension amp unemployment insurance contributions (2019)

euro30000 125 840euro50000 220 840euro100000 320 840

Capital income (eg capital gains dividends rental income) are subject to tax at the rate of 30 tax or 34 on the part exceeding euro30000

Key employees arriving from abroad can apply for a flat-rate tax of 32 instead of progressive income tax However this requires a monthly salary of at least euro5800

Non-resident taxpayersA private person is a non-resident taxpayer in Fin-land if they live abroad and stay in Finland for 6 months or less A non-resident taxpayer pays income tax in Finland only on income received from Finland However Finlandrsquos right to tax may be limited by a tax treaty

Earned income (eg salaries and wages) received by a non-resident taxpayer is subject to tax at source (35) However if the personrsquos country of residence is another EU country Norway Iceland or Liechten-stein or a country that has a tax treaty with Finland the person can request to be taxed progressivelyCapital income (eg dividends) is generally subject to tax at source (30) but tax treaties typically nar-row it down to 0ndash15

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 5

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Tax survival kit

Other taxesbull Transfer tax as a main rule the recipient pays

16 (or 2) of transfer tax on the disposal of shares or 4 in the case of real estate

bull Wealth tax Not in use in Finland bull Real estate tax General rate of real estate tax is

max 2 bull Inheritance and gift tax Progressive tax scale

With tax money Finland pays forbull free health and medical care bull free schools bull childrenrsquos daycarebull higher educationbull facilities for sports arts and hobbiesbull environmental protection

Finland is the happiest country in the world not be-cause we laugh all the time but because everything works ndash and this is largely because of our taxes

Feeling and being well

bull Finland is the happiest country in the world (United Nations World Happiness Report 2018)

bull Finland is the number one in freedom of all the world countries (Freedom House Freedom in the World 2019)

bull Finland is the best country in the world in a comparison of human wellbeing (Sustainable Society Index Main results 2016)

bull Finnish primary education is the worldrsquos best (The Global Competitiveness Report 2017-2018 Primary Education)

bull Finland is the most stable country in the world (The Fund for Peace Fragile States Index 2018)

bull Finland is the safest country in the world (The Travel amp Tourism Competitiveness Report 2017)

bull Where Expat Families feel at Home Finland is one of the best places on earth to raise kids (httpswwwinternationsorgexpat-insider2017family-life-index-39189)

bull Mothersrsquo and childrenrsquos well-being in Finland is the second best in the world (Save the Children State of the Worldacutes Mothers 2015 16th annual report)

bull The air in Finland is the cleanest in the world (Finnish Meteorological Institute Finland tops WHO air quality statistics)

bull Finland is the most water-rich country in the world (Keele University The Water Poverty Index an International Comparison)

bull Finland has the third most space per person in Europebull (Eurostat Population density persons per kmsup2)bull Finland has the best digital public services in the EU

(European Commission The Digital Economy and Society Index (DESI) 2018 Finland)bull Finland is the third most prosperous country in the world

(Legatum Institute The Legatum Prosperity Index 2017 Finland) bull Finns have the highest trust in other people in Europe

(European Commission Fairness inequality and intergenerational mobility Social Capital Trust in people)

Individual taxation

FINNISH TAX ADMINISTRATION

Your true friendin Europe 6

Tax survival kit

bull Which country boasts the most highly skilled workforce - Finland took the top spot (The Global Competitiveness Report 2018)

bull The quality of Finnish higher education is the third best in the world (The Global Competitiveness Report 2017ndash2018)

bull Helsinki is the second most attractive city for startups in the world (Startup Cities Index 2018)

bull Helsinki is the most honest city in the world (Readers Digest Most Honest Cities)

bull Finland has the strongest digital knowledge capital in Europe (European Commission The Digital Economy and Society Index 2018 Finland)

bull Finland is the second best country in the field of clean technology (in a comparison of 40 countries WWF amp Cleantech Group The Global Cleantech Innovation Index 2017)

bull Availability of official information in Finland is the top of the EU (The State of data innovation in the EU Freedom of information)

bull Finland has the best protection of intellectual property rights in the world (The Global Competitiveness Report 2018)

bull Finland has the best protection of property rights in the world (The Global Competitiveness Report 2018)

bull Finland has the best governance in the world (The Legatum Prosperity Index 2017 Finland)

bull Finland has the worldrsquos most independent judicial system (The Global Competitiveness Report 2017ndash 2018 Judicial independence)

bull Finland has the third least corruption in the world (Transparency International Corruption Perceptions Index 2017)

bull Finland is the best performer in efficiency of legal framework in challenging regulations (The Global Competitiveness Report 2018)

bull Corporate ethics in Finland is the second best in the world (World Economic Forum The Global Competitiveness Report 2017ndash2018 Corporate Ethics)

bull Helsinki is the most equal city in Europe (in a comparison of 33 cities Spotahome Equality in Europe)

FINNISH TAX ADMINISTRATION

Your true friendin Europe 7

Tax survival kit

Business environment

Tax survival kit

FINNISH TAX ADMINISTRATION

Your true friendin Europe 8

A true friend givesyou taxation advice

Tax survival kit

Contact information

A good friend givesyou relationship advice

9th March 2020

WeChat ID

Web sites (EN)wwwverofistartups

Email Startupsverofi

Web sites (CH) wwwverofienother_languagechina

Finnish TaxAdministration

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