VAT and Sales Tax Rates in Finland for 2014
Finland VAT Rate
The current Finland VAT (Value Added Tax) is 22.00%.
The VAT is a sales tax that applies to the purchase of most goods and services, and must be collected and submitted by the merchant to the Finland governmental revenue department.
Finland's VAT rate of 22% ranks as one of the ten highest VAT rates in the world.Countries with similar VAT rates include Poland with a VAT of 23%, Denmark with a VAT of 25% and Hungary with a VAT of 25%.
|VAT/Sales Tax||Reduced VAT Rate||World VAT Rank|
|22%||None||7th of 34|
Finland VAT Refund For Visitors
Visitors to Finland may be able to get a refund of the Finland VAT tax paid on any goods bought for deportation. To get a VAT refund, you must present receipts for the goods purchased (and possibly proof of your deportation of the goods) to a Finland VAT refund station (which are often found in airports, tourist offices, or international travel hubs).
Some localities have a minimum purchase price for which a VAT refund can be claimed, or certain purchase types which cannot be made tax-free. A VAT refund of up to 22.00% of your total expenditures may be refunded for qualifying purchases. Regulations on VAT and sales tax refunds vary across countries and by region, so be sure to check ahead before expecting a Finland VAT refund.
Finland VAT Law For Businesses and Merchants
Businesses in Finland are required to collect a sales tax of 22.00% on behalf of the government, which they must submit to the applicable Finland revenue department in a periodical VAT tax return. Unlike the United States' sales tax, which is only charged on sales to end consumers, the VAT is collected on all sales - even of raw materials.
Businesses may be required to register for a Finland VAT number or other identifier to enable the government to track and verify VAT tax returns. VAT collection is a responsibility of the merchant, and failure to collect and submit the appropriate tax amounts may result in severe penalties.
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