Jul
Finland – Parliament Adopted Bill Increasing Standard VAT Rate as of 1 September 2024
Further to our news story on 26 April regarding the proposed VAT rate change in Finland, on 28 June the Finnish parliament formally adopted the bill, which increases the standard VAT rate in Finland from the current 24%, to 25.5% from 1 September 2024.
With this change, the Finnish VAT rate will become the second highest standard VAT rate in the EU straight after Hungary currently operating the highest EU’s VAT rate at 27%.
The Finnish Tax Administration has published instructions to be followed in determining whether the old or the new VAT rate ought to be applied in specific scenarios and circumstances, e.g. when payment is made on account before the goods or services are supplied, for contracts involving payment by installments or for goods supplied or services rendered on a continuous basis.
Should you require assistance with determining the VAT rate applicable to your particular supplies in Finland, please get in touch with your regular contact person at Essentia or contact us at contact@essentiaglobalservices.com