Finland

Corporate - Significant developments

Last reviewed - 30 June 2021

Several significant corporate tax developments have entered into force in the beginning of 2021. The new rules concerning, for example, additional deductions on certain subcontracting R&D costs (in 2021-2025) and accelerated depreciation on low value assets and the remaining low book value of machinery and equipment shall be applicable from financial year 2021 onwards.

Further, parent entities of corporations now have a possibility to deduct the final accrued losses of a subsidiary located in another EEA country by applying a specific group deduction.

Also starting from 1 January 2021, the tax liability of foreign corporate entities can be determined by the place of effective management.

Please find more information on the following pages of this tax summary.