Tax & Accounting Blog

Finland — VAT Increase Announced

Indirect Tax, ONESOURCE, Sales and Use Tax, Transaction Tax, VAT Tax Rates March 28, 2012

Following budget deliberations this week Finnish Government Ministers have announced an increase in value added tax (VAT) across the board by one percentage point. Prime Minister Jyrki Katainen has indicated raises in tax rates will take precedence over saving cuts in the government’s budget plans. The planned increase, which will affect necessities such as food and medicine, is not popular. Both opposition parties, the Centre and Finns, have criticized the VAT increase.

The increase is to go into effect next January.

Source: http://www.yle.fi/uutiset/news/2012/03/budget_talks_increase_in_vat_changes_to_pensions_and_benefits_3352828.html