Taxation

The objective of the Finnish tax system is to provide financing for the government effectively and in accordance with general social policies. In addition to having a sustainable tax base and a consistent internal structure, the tax system must be internationally competitive.

Division of Labour within the Tax Administration

The Ministry of Finance is a specialist in the setting of objectives for taxation policy, and its responsibilities include the preparation of tax legislation and participation in the development of the Tax Administration and Finnish Customs. The Ministry is also responsible for the preparation of intergovernmental agreements concerning taxation and customs cooperation. The Ministry is a representative of Finland in issues concerning taxation and customs in the European Union. Achieving a functional internal market and a consistent tax system are the main priorities of Finnish tax policy within the EU.

The Ministry of Finance provides guidelines for the Tax Administration and Finnish Customs through annual performance agreements.

It is the objective of the Tax Administration to levy taxes as correctly and fairly as possible in order to minimize costs unrelated to taxation and to avoid causing unnecessary strain on the economy.

The Tax Administration consists of the National Board of Taxes and nine regional tax offices. These offices are responsible for customer service, tax decisions, fiscal control, tax collection, accounting, and forwarding tax payments to recipients. Each regional tax office is divided into local tax offices and separate units  with different functions ranging from tax collection and payment control to tax inspection.

Finnish Customs is responsible for customs operations which include the collection of duties, taxes, and other payments relating to customs. The main responsibilities of Finnish Customs also include the promotion of foreign trade, the protection of Finnish society, and the maintenance of foreign trade statistics.

In addition to the National Board of Customs, which is responsible for central administration, Finnish Customs consists of five customs districts responsible for regional administration and the national Customs Laboratory, all of which are subordinate to the National Board of Customs.

In addition to the Tax Administration and Finnish Customs, the Finnish Vehicle Administration AKE and pension and insurance institutions collect taxes and other payments.

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