Tax in Finland: VAT, income tax, company tax, capital gains
25.5%
A 25.5% VAT (arvonlisävero, ALV) on most goods and services, with 13.5% on food, restaurant meals, passenger transport, accommodation, medicines, books and culture and sport, and 10% on newspapers and magazines. The rate is verified against Verohallinto (Finnish Tax Administration, vero.fi) on 22 September 2026; the top personal income-tax rate is 37.5% (2026 tax year, Finnish Tax Administration (Verohallinto)), and the headline company tax rate is 20% (Verohallinto).
ALV (Arvonlisävero) in Finland
Value-added: ALV is charged on sales and reclaimed on purchases. The standard rate rose from 24% to 25.5% on 1 September 2024, and the main reduced rate fell from 14% to 13.5% on 1 January 2026.
- Standard rate
- 25.5%
- Local name
- ALV (Arvonlisävero) — Value Added Tax
- Type
- VAT
- Reduced rates
- 13.5%, 10%
- Registration threshold
- EUR 20,000 turnover/yr
- Filing
- Monthly; quarterly under €100k or annually under €30k turnover
- Authority
- Verohallinto (Finnish Tax Administration, vero.fi)
- Current rate since
- 1 September 2024
Income tax in Finland
The top personal income-tax band is 37.5% for the 2026 tax year (shown as ~52% (state 37.5% + municipal + contributions) in the rates table, which includes levies). Mainland Finland — Åland is not modelled
Company tax in Finland
The headline corporate income tax (yhteisövero) rate is 20%. In effect since 1 January 2014.
Flat 20% on a company’s taxable profit, with no small-company rate. The government has proposed cutting it to 18% from 2027 (HE 151/2026); until Parliament passes that, 20% applies.
Capital gains tax in Finland
- Shares
- Capital income: 30% on total capital income up to 30 000 €, 34% above.
- Property
- Capital income: 30% on total capital income up to 30 000 €, 34% above.
- Holding period
- No rate difference by holding period. A deemed acquisition cost of 20% of the sale price (40% if held 10 years or more) may be used instead of the actual cost.
Did you know? Finland tax facts
In Finland the tax paid by every person and company is public information — earned income, capital income and tax are all open to request, and newsrooms routinely pull the records in bulk.
Wikipedia: 'The amount of tax paid by each person and company is public information'; 'Capital income and earned income are both public information, while taxation on dividends from unlisted companies is not'; targeted requests are free, and larger record requests are made for journalistic purposes. Municipal income tax in 2025 ranged from 4.7% (Kauniainen) to 19.7% (Kökar), and the top state rate was 44.25% above €150,000.
Source: Wikipedia — Taxation in Finland · checked 10 October 2026 ↗Every Finnish employee has a 'tax card' (verokortti) showing a personal withholding rate and an income ceiling; the employer withholds at that rate until pay passes the ceiling, then at the card's higher additional rate.
Finnish Tax Administration (vero.fi): the 'tax rate' is 'the percentage of withholding' shown on the card, and the income ceiling is 'the max. amount your employer can pay you before an additional withholding must be made'; the Tax Administration 'sends you a basic tax card at the turn of the year', and a new card can be requested in MyTax if the estimate is wrong.
Source: Finnish Tax Administration (vero.fi) — Tax rate and income ceiling · checked 10 October 2026 ↗Members of Finland's two national churches pay a church tax on earned income — 1.0% to 2.0% in Lutheran parishes and 1.75% to 2.25% in Orthodox parishes in 2025 — collected alongside state and municipal tax.
Wikipedia: members of the Evangelical Lutheran Church or the Orthodox Church pay church tax on net earned income; in 2025 Lutheran parish rates ranged from 1.0% to 2.0% and Orthodox parish rates from 1.75% to 2.25%. Finnish state income tax is progressive, from 12.64% to 44.25% in 2025.
Source: Wikipedia — Taxation in Finland · checked 10 October 2026 ↗
More stories, for every country that has one, on the tax facts page.
Ask your AI assistant about tax in Finland
The figures on this page are callable by any MCP-compatible assistant through the free Tax MCP. Add https://taxmcp.ai2fin.com as a custom connector in Claude, ChatGPT, Cursor or your own agent — no login, no API key — then ask:
- “What is the ALV (Arvonlisävero) rate in Finland, and what is the source?”
- “Estimate income tax in Finland on EUR 60,000 for 2026.”
- “What is the company tax rate in Finland and how is it sourced?”
Connect in three steps, and what a connected answer looks like: Tax MCP.
Finland, answered
Questions about tax in Finland
- What is the ALV (Arvonlisävero) rate in Finland?
- The standard ALV (Arvonlisävero) (Value Added Tax) rate in Finland is 25.5%, verified against Verohallinto (Finnish Tax Administration, vero.fi) on 22 September 2026. Reduced rates of 13.5% and 10% apply to some categories. Value-added: ALV is charged on sales and reclaimed on purchases. The standard rate rose from 24% to 25.5% on 1 September 2024, and the main reduced rate fell from 14% to 13.5% on 1 January 2026.
- What is the top income tax rate in Finland?
- The top personal income-tax band in Finland is 37.5% for the 2026 tax year, verified against Finnish Tax Administration (Verohallinto) on 29 September 2026. The free income-tax calculator on this site works through the bands below it, and shows the rate table it used.
- What is the company tax rate in Finland?
- The headline corporate income tax (yhteisövero) rate in Finland is 20%, verified against Verohallinto on 6 October 2026. Flat 20% on a company’s taxable profit, with no small-company rate. The government has proposed cutting it to 18% from 2027 (HE 151/2026); until Parliament passes that, 20% applies.
- How is capital gains tax charged in Finland?
- In Finland, gains are taxed at their own rate, separate from income, verified against Tuloverolaki 124 § 2 mom on 29 September 2026. On shares: Capital income: 30% on total capital income up to 30 000 €, 34% above. Holding period: No rate difference by holding period. A deemed acquisition cost of 20% of the sale price (40% if held 10 years or more) may be used instead of the actual cost.
- Can an AI assistant look up tax rates for Finland?
- Yes. The free Tax MCP at https://taxmcp.ai2fin.com gives Claude, ChatGPT, Cursor or any MCP-compatible agent the same sourced figures as this page: the ALV (Arvonlisävero) rate, an income-tax estimate, the company tax rate, the capital gains rule and a side-by-side comparison with other countries, each answer citing the authority and the date it was checked. Add the endpoint as a custom connector; there is no login or API key.
Sources
- Verohallinto (Finnish Tax Administration, vero.fi)
- Finnish Tax Administration (Verohallinto)
- Verohallinto
- Tuloverolaki 124 § 2 mom
- Wikipedia — Taxation in Finland
- Finnish Tax Administration (vero.fi) — Tax rate and income ceiling
Last checked 10 October 2026. General information computed from published government rates, not tax advice. Check the linked authority or a registered adviser before relying on a figure.
See every rate side by side in the tax rates table, put Finland next to another country in the comparison tool, or read the tax facts.
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