Corporate taxpayers submit their income tax returns after their financial statement is ready, within four months of the end of the fiscal year. If the company’s fiscal year has ended on 31.12.2015, the income tax return must be at the Finnish Tax Administration by 2.5.2016. This means that the financial statement, auditing and taxes for the last fiscal year must be taken care of before submitting the income tax return. Income tax returns are submitted with form 6B.
Before submitting the income tax return, the corporate taxpayer should check the amount of withholding tax paid in advance. The corporate taxpayer can supplement the earlier payment in order to meet the amount of income tax to be paid, or apply for a reduction in withholding tax, which is done at the same time as submitting the income tax return.
For more information and a detailed guide on filling form 6B correctly in English please visit the Finnish Tax Administration’s site.
Pre-completed income tax returns should be carefully inspected, as an individual taxpayer might be eligible for tax-deductions that have not been taken into account by the Finnish Tax Administration. The Administration does some of the deductions ex officio, but taxpayers must demand for some of the tax deductions themselves. Taxpayers are not required to submit receipts or other documents related to the tax deductions filed, but they must be retained for further clarification, if needed.
Commutes that enable the taxpayer to apply for tax-deductions can be e.g., regular commute, weekend trips home, commute to secondary place of work, business trips and commutes related to a certain sector of work.
No deductions are given if the actual cost doesn’t exceed 750 euros, and expenses for regular commutes can be deducted to a maximum of 7000 euros.If the deductions are made based on commutes made by other means than public commute, the taxpayer must submit the time of commute, the type of vehicle used for commute purposes, the distance made over the year, costs per kilometer and total expenses per year.
Deductions based on household expenses can be made up to 2400 euros. The taxpayer’s own liability is 100 euros. In order to be eligible for making this tax deduction, the household work done must be provided by either a company or an operator in trade or business with a valid business ID. The amount of tax deduction that can be made is 45 % of work inclusive of VAT. This means that to be eligible for the full amount of the tax deduction, household work done must cost approx. 5 555 euros (more information available in Finnish).
These expenses can include e.g. vocational literature, and work-related housing expenses up to 250 euros per month (more information available in Finnish).
These interest expenses can come from e.g. loans used to acquire investment property. This deduction is made from capital income.
The deduction is made from capital income.
Loss produced can only be deducted within its respective source (personal, business and agriculture)
In case there is no capital income, the taxpayer can apply for a tax credit based on the deficit in capital income against income tax on earned income. The credit is 30 % of the deficit in capital income, up to a maximum of 1 400 euros, increased by 400 euros by each child the taxpayer has, but to a maximum of 800 euros. The so called “child increase” must be demanded, and can only be demanded by one parent (more information available in Finnish).
Shareholder loan payments can be classified as work-related expenses, if the payments have been made within five years of raising the loan. The deduction is made from capital income (more information available in Finnish).
For a more information and a detailed guide on filling out a pre-completed income tax return in English, please visit the Finnish Tax Administration’s site.
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