Impostos a Finlàndia

Company Tax

20%

Tax Rate For Foreign Companies

Finnish companies are taxed on their worldwide income whereas non-resident companies are only taxed on Finnish-sourced income. Foreign companies with a permanent establishment are taxed at the regular corporate tax rate.
In general, a branch is subject to taxation akin to a corporation, with a tax rate of 20% applied to its attributable profits if the branch qualifies as a Permanent Establishment (PE) in Finland. There is no tax withheld on transfers of taxed profits to the head office.
Further information can be found on the Skatt website.

Capital Gains Taxation

Capital gains derived by a company generally are taxed as ordinary business income at a rate of 20% (and, correspondingly, capital losses are generally deductible). A participation exemption is available for gains derived from the disposal of shares treated as fixed assets (corresponding capital losses are not tax deductible, conditions apply).
Capital gains from the sale of shares are tax-exempt if the seller is not a company engaged in private equity activities (as defined by the BITA), has owned at least 10% of the target company's share capital continuously for at least one year, and the shares are part of the seller’s fixed assets and included in the seller’s business income source for tax purposes. For the participation exemption to apply, the target company must not be primarily engaged in real estate. It must be a Finnish company, one referred to in the EC Parent-Subsidiary Directive, or a resident of a country with a tax treaty with Finland that covers dividend distributions.

Main Allowable Deductions and Tax Credits

Deductions are allowed for ordinary business expenses such as payments of interest and royalties, entertainment costs (capped at 50%), fees for establishing an organization and reorganization costs, R&D expenses, and employers' social contributions. Generally, a company's net financing expenses are deductible only up to 25% of its adjusted taxable income (EBITD), applied at the individual company level. If total net financing expenses (internal and external) exceed EUR 500,000, interest deduction limitations apply, capping deductible net financing expenses at 25% of the company's adjusted taxable income (EBITD). External net financing expenses are always fully deductible up to EUR 3 million and are deducted before internal financing expenses. If external financing expenses alone exceed 25% of the company's EBITD, internal financing expenses are not deductible.
Goodwill obtained can be amortized for tax purposes during its useful life, with a maximum of ten years. In the determination of taxable income, start-up expenses are normally treated as deductible expenses.
Donations are deductible for CIT purposes if they meet specific criteria. The donation must be between EUR 850 and EUR 250,000 if made to an EEA member state or a publicly financed university or higher educational institution in the EEA for the sciences, arts, or Finnish cultural heritage. If the donation is to an association, foundation, or institution in the EEA nominated by the Tax Administration for similar purposes, it must be between EUR 850 and EUR 50,000. Donations up to EUR 850 for charitable purposes are generally tax deductible. Employers are allowed to make an additional tax deduction for certain education costs of their employees. Employers are required to provide for a qualifying education plan and the education relates to the current or future tasks of the employee. Bad debts are in general tax-deductible.
The maximum annual depreciation rates for tax purposes are generally 25% for machinery and equipment and 4% to 20% for buildings, depending on the asset type and lifespan. However, a law effective from 1 January 2020 allows accelerated depreciation for machinery and equipment for tax years 2020-2023, now extended to include tax years 2024-2025.
Taxpayers can receive an additional deduction of 45% on R&D costs for the first time in the 2024 tax year, based on an increase in R&D activities.
Losses may be carried forward for ten years, whereas loss carrybacks are not allowed.

Other Corporate Taxes

Municipalities impose an annual real estate tax on the taxable value of buildings and land. The municipal council determines the applicable tax rates (ranging from 0.41% to 6%).
A 3% transfer tax is payable on real estate sales in Finland. Transfers of shares in Finnish companies, housing companies, and real estate companies are subject to a 1.5% tax. A 1.5% transfer tax also applies to shares in foreign companies primarily holding Finnish real estate if the transferor or transferee is a Finnish resident or a Finnish branch of a foreign entity. The transferee generally pays the transfer tax.
Finland does not levy stamp taxes.
Compulsory social security contributions payable by the employer include health insurance (1.53%, no cap); pension insurance (17.39% on average, no cap); unemployment insurance (0.52% for the first 2,251,500 of gross salaries and 2.06% for the portion of the gross salaries exceeding that amount, no cap); group life insurance premium (0.06% on average, no cap); accident insurance premium (0.57% on average, no cap).
Other company taxes include the tonnage tax for shipping companies. Moreover, a lottery organizer must report and pay a 30% lottery tax on the value of prizes for lotteries held in Finland. Insurance companies, or in some cases policyholders, are responsible for reporting and paying a 24% insurance premium tax and a 3% fire protection fee on certain insurance.

Other Domestic Resources

Finnish Tax Administration

Tax Rate

Allowable Deductions and Tax Credits

The following deductions are allowed, some of which are subject to a cap:

- Work commuting expenses in excess of EUR 750 (up to a maximum of EUR 7,000, with a threshold share of EUR 900)
- Interest on a loan used to buy a permanent home (limited)
- Capital losses
- Child allowance of EUR 80 maximum per child under 18
- Household expenses for certain care and repair work, up to EUR 2,250 per year (EUR 3,500 for expenses related to the move from oil heating to more sustainable energy sources and for expenses incurred from household work, nursing, and care)
- Mandatory unemployment insurance premiums are deductible from earned income for both national and municipal tax purposes
- Accommodation costs of a second home needed because of two (or more) permanent workplaces can be deducted. The maximum deduction is EUR 450 per month
- A child deduction of EUR 50 per under-aged child is granted as a deduction against taxes payable on employment income. The deduction of EUR 50 is granted per under-aged child, up to a maximum of four children. In case the individual is a single parent, the deduction is EUR 100 per child
- Several deductions apply for remote working (e.g. EUR 920 if the employee works from home more than 50% of the total number of working days)
- Individuals are allowed to deduct cash donations of between EUR 850 and EUR 500,000 from earned income if the purpose of the donation is the development of science or art and the donation is made to a university with public financing that is located in the European Economic Area or to a related university fund

For further information, visit the dedicated pages on the Skatt website.

Special Expatriate Tax Regime

A non-resident individual (e.g. occasionally working in Finland) is taxed on Finnish-source income only. Tax rates are 35% on employment income and 30% on dividends, interest and royalties; unless differently stated in a tax treaty. Certain types of interest income that a non-resident may receive from a Finnish source are not taxable: for example, interest on a bank deposit, or on bonds or debentures, are tax-exempt when the beneficiary is a non-resident.
In principle, no itemised deductions are allowed, however, a standard deduction of EUR 510 per month is deducted from the income.

The foreign expert tax regime imposes a flat 32% tax rate on Finnish-source salary income for foreign employees with specialized knowledge, bypassing the normal progressive tax rates for residents, provided their monthly cash salary is at least EUR 5,800. Eligibility excludes individuals who have been Finnish residents in the preceding five years or Finnish nationals. Initially valid for up to 48 months, as of Jan 1, 2024, the regime extends to 84 months; thereafter, regular tax rules apply. Applicants must apply within 90 days of commencing work in Finland, with extensions required within 30 days of the original period's end if shorter than 84 months.

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