Finland

Significant changes to transfer taxation entered into force in the beginning of 2024. Among other changes, all transfer tax rates were reduced as of 1 January 2024. These new rates were applied retroactively to acquisitions made on or after 12 October 2023. In addition, upon distribution of shares as a dividend in kind, from January 2025 onwards, the distributing company is liable for tax (instead of the shareholders).

Taxpayer can receive an additional deduction of 45% on research and development (R&D) costs based on an increase in the amount of R&D activities. The rule was applicable for the first time in tax year 2024.

The employing corporate taxpayer’s training deduction will no longer be available as of tax year 2025. The deduction may be made from the tax year 2024.

Finland has adopted the Pillar Two minimum taxation rules, including a Qualifying Domestic Top-Up Tax (QDMTT), effective 1 January 2024. The rules, broadly speaking, apply to groups with consolidated revenues of at least 750 million euros (EUR).

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