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Tax authorities

National Board of Taxes
Haapaniemenkatu 4 A, P.O. Box 325, FIN-00052 Verotus, Helsinki, Finland
Tel: (from inside Finland) 020 697 024
Tel: (from outside Finland) +358 20 697 024
Website:
www.vero.fi

Tax rates at a glance

(As of August 22 2011)

Corporate income tax rate 26%
Capital gains tax rate 26%
Branch tax rate 26%
 
Withholding tax
Dividends 28%
Interest 0%
Royalties from patents and licences 
28%
Branch remittance tax 0%
 
Net operating losses (years)
Carryback 0
Carryforward 10
  • Please note that the corporate income tax rates are expected to change as of January 1 2012 from 26% to less than 25%. However, as of September 1 2011, the tax reform had not been discussed in the parliament.
  • Capital gains derived from the disposal of shares by companies are under certain circumstances exempt from tax (for example, shares belong to fixed assets, ownership is more than 10% and has lasted uninterruptedly more than a year, the target company is not a real estate company and the selling company does not pursue capital investment activities, and shares sold are shares in a company defined in article 2 of EU Parent-Subsidiary Directive or a company resides in a country which has a double tax treaty with Finland that is applied to dividends distributed).
  • The dividends and royalties paid to an associated company residing in other EU country are in certain circumstances exempt from withholding tax.
  • If a direct or indirect change in the ownership of the company (more than directly 50% of the shares of the company or indirectly via the shares of its parent company which owns at least 20% of the loss-making company) occurs, the right to carry forward losses may be forfeited. However, an application to the tax authorities can be made to obtain a special permit to return the right to carry forward the losses.

Source: Taxand advisers from Borenius – Taxand

Finland

Janne Juusela and Einari Karhu
Borenius – Taxand
Finland

The year to date has seen a new government unveil tax reforms, an extension of the tax treaty network and key rulings in the Supreme Administrative Court on losses, exchange of shares and arm's-length interest, explain Janne Juusela and Einari Karhu of Borenius – Taxand

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PwC

PwC's tax practice in Finland is led by Petri Seppälä and has significantly strengthened its ability this year. In a market where the tax authorities are increasingly focused on transfer pricing, the arrival of Sari Takalo, Ernst & Young's former transfer ... [more]

Deloitte has developed its tax practice significantly in Finland with 23 new fee earners joining during the year. Notable additions include directors from Ernst and Young. The majority of the new personnel have been recruited into the VAT service line ... [more]

Ernst & Young has lost some significant members of its tax team this year, including Hannu-Tapani Leppänen, who has set up the firm Alder & Sound, and several others who joined Deloitte. However, the firm has also made additions to their tax service ... [more]

Hannes Snellman has experienced some changes over the past year, with two associates departing and being replaced by lateral hires from Deloitte. The highly respected Ossi Haapaniemi oversees the tax department and has ensured they remain well regarded ... [more]

New firm Alder & Sound is led by former Ernst & Young partner Hannu-Tapani Leppänen. Reima Linnanvirtaone from Roschier joined as a partner and three associates from various Finnish firms have also been recruited. The firm has created a system that allows ... [more]

Attorneys at Law Borenius - Taxand is led by the well regarded litigator Janne Juusela. The tax department covers a full range of tax issues, but is respected for its tax controversy in particular. Juusela is praised by his peers for his abilities in ... [more]

Castrén & Snellman has this year merged its tax and corporate groups to create a single department, allowing it to deal with the tax implications of M&A and transactional matters. The tax section of the new department is lead by partner Sari Laaksonen, ... [more]

Krogerus is a large commercial law firm that has developed its reputation for tax in recent years. The loss of former head of department Pekka Talari, who joined Roschier, is significant, but capital markets and corporate tax specialist partner Marko ... [more]

Mika Ohtonen, an M&A, private equity and real estate tax specialist leads the tax practice of Roschier, and was this year promoted to the partnership. He advised private equity firm The Riverside Company on its acquisition of children's clothing company ... [more]

See also

Finland
Western Europe

Firm contact details