Finland

Personal income tax rates for resident individuals

Finland taxes residents on their worldwide income. Earned income received by residents is taxed at progressive tax rates for national tax purposes and at a flat tax rate for municipal (and church and social security) tax purposes.

National income tax rates on earned income

National income tax rates for 2025 applicable to earned income are as follows:

Municipal income tax on earned income

Municipal tax is levied at flat rates on taxable earned income. The rate varies between 4.70% and 10.90%, depending on the municipality. The average municipal tax rate utilised on progressive income taxation for non-tax residents is 7.50%.

Church tax on earned income

Church tax is payable by members of the Evangelic Lutheran, Orthodox, and Finnish German church in Finland at flat rates on the taxable income determined for municipal taxation. Rates vary between 1% and 2.25%, depending on the parish concerned.

Public broadcasting tax 

Public broadcasting tax is levied on taxable income. The rate of public broadcasting tax is 2.5% on annual income exceeding EUR 15,150; however, the maximum amount is EUR 160. Individuals are not liable to pay the tax if their annual income is EUR 15,150 or less, if the individual is under 18 years old, or if the individual lives in the Province of Åland. Åland has its own media fee, which has the same requirements concerning age and income limit, and the amount of the fee is fixed to EUR 127.

Foreign expert tax regime

The foreign expert tax regime provides a flat tax rate of 25 % on Finnish-source salary income from primary employment for those foreign employees whose work requires special knowledge and who would be otherwise taxed at the normal progressive tax rates applicable to resident individuals. Other conditions are that the cash salary is at least EUR 5,800 in each month during the validity period of the regime. The regime cannot be applied if the person has been resident in Finland within the last five calendar years preceding the commencement of working in Finland.

The foreign expert tax regime can be applied for a maximum of 84 months concerning a foreign national individual and for a maximum of 60 months in case of Finnish national returning to Finland.

The application for the regime must be filed within 90 days from starting to work in Finland. 

Capital income tax rate

Capital (investment) income is taxed at rates of 30% and 34% (the latter percentage is applicable when the annual taxable capital income exceeds EUR 30,000).

Personal income tax rates for non-resident individuals

A non-resident individual (e.g. occasionally working in Finland) is taxed on Finnish-source income only. Unless lower rates are provided in a tax treaty, tax rates are 35% on employment income and 30% on dividends, interest (however, interest income is normally not taxable for a non-resident) and royalties. In principle, no itemised deductions are allowed against the aforementioned income.  When the 35% tax at source is collected, EUR 510 per full month is deducted from the taxable amount of income. EUR 17 per day is deducted from the total amount of income accumulated over a period of less than a month. However, the maximum deduction is the amount of income. In order to get a deduction, the deduction must be mentioned in the individual’s tax withholding tax card. 

A non-resident may also request to be taxed on one's income earned in Finland through tax assessment (i.e. progressive taxation) instead of fixed tax at source rate as it may provide a lower tax rate in certain cases. 

Remuneration to artists and sportsmen is subject to 15% tax at source (no deductions available).

Finnish-source income other than mentioned above is subject to income tax at normal tax rates (earned income is taxed at a progressive tax rate and capital income at rates of 30% or 34%) unless a tax treaty provides otherwise. For example, rental income from property located in Finland is subject to assessment and the net rental income is taxed at 30% or 34%.