Finland for Thought
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26.8.2008

One tax office to unite them all…

Tags: Everything — Author:   @ 9:09 pm

A bunch of new laws seem to have been voted in regarding the Finnish Tax Authority and are now there in finlex.fi. If I understood it correctly, there is now one tax office, the Tax Authority (Verohallinto, vero.fi), that covers the whole country; one tax office to unite them all. This new law is here. (in Finnish)

A bunch of other laws appear to have been voted in. One is particularly interesting. It seems to indicate that you can apply to be exempt from inheritance or gift tax, for example, if it will hurt your economic situation, or it seems unreasonable. It specifically mentions farming, for example, as well as someone with dependencies. So that would mean that when you inherit a farm, you don’t have to sell the farm in order to pay the tax, which is what some people have had to do. This new law is here. (in Finnish)

Wow, I will have a nice perusal through all these new laws. I am really impressed with this government. They seem to have made some good moves in protecting taxpayers’ rights, if this is all true. :-)

I haven’t heard anything yet about any of this in any of the newspapers, but yet I have trouble believing that I would be the first to report about this.

  • Finnsense

    I think there should be a law which says that any law which works most of the time but which is occasionally uncontroversially stupid, can be waived on application. The inheritance law is generally sensible but lead to these absurdities, so it’s a good example. The one that said I could be fined for parking facing in the wrong direction down a deserted one way street is another.

  • Hank W.

    The tax office moved their “business elewhere” some time ago, so I’ve got my taxes “done” in Kuopio… they have done such streamlining as with the police I could go renew my ID at any police station or rather “service point” rather than having to queue biblically “in my own town and city for I am of the house of Judah”… once they get this thing running with the foreigners as well and handle the applications at Nowheremäki with the same efficiency than overburdening the Malmi Alien Zoo… well, it’ll happen eventually.

  • Tapani Pallomeri

    I do agree with Finnsense in comment number 1. I don’t think that Parliament was ready to do away with these taxes altogether. There are still many there of the Social Democrat mindset, and still would like to tax money owned as well as money earned.

    Too bad this wasn’t in effect when my student friend’s mother died and left her an old 70′s Mercedes. She would have needed to pay about 8,000 Euros at the time in order to bring it into the country from Germany. Some of the other new laws indicated a situation like this could now be made exempt as well.

  • v.i.lenin

    Yes, but will these new tax laws bring our beloved Formula drives back from Monaco?

  • v.i.lenin

    Oops, “drivers”.

  • http://koti.phnet.fi/bevertje/ majava

    Keep ‘em in Monaco please! Why care about them? It’s not very patriotic to avoid paying taxes to contribute to your isänmaa, now is it?

  • kimi is the man

    Kimi and Heikki both still have a lot going on in Finland. Kimi has a house of some sort in Porkkala and Heikki in Suomussalmi. Sure, their tax money goes somewhere else but the guys themselves still come here often.

  • Tapani Pallomeri

    Hey, if they want to bring their money here, that is great. It is good for the economy. That is tens of millions per guy. The tax on just the interest from that money is substantial. They will of course buy houses, cars, food, clothing, fuel, etc. and all that stuff is taxed.

    But they may also be thinking about things like is the wealth tax gone for good, or will they start needing to pay tax on it again? And if the wealth tax is brought back, will the tax information end up in the internet and magazines? Some parliament members keep trying to get it back. If caught in some minor crime, will police force them to tell what their earnings are under the threat of imprisonment, and then once told, will that information end up in magazines and the internet? And how do you report how much earnings you make on that kind of investments, when you know it will end up in a magazine or the internet? And what happens when you repatriate that much money? Holding corporations are what some of them use, at least. It is easier to move money between corporations.

    It may be easier for them to keep the money over there in Monaco, after all.

    Let’s see what develops from the new tax organization in Finland.

  • Freeridin’ Franklin

    #6: Kimi contributes heavily to the Finnish tax base whenever he is in Finland. In the nearest Alko, that is.

    http://www.youtube.com/watch?v=-VW2oAkjcJ4

    Too bad booze liquefies the cerebellum, which is a useful thing to have when driving a car.

  • Dave the Revelator

    Question:

    I am considering buying a car in Deutschland and driving it back here. I would like to know how much auto tax would be levied for a (let’s say) 1993-ish VW Vanagon / Camper (diesel or gas, I know which one is more expensive).

    Is there an official list of these tax rates on cars or are these lists confidential, and if so, why?

  • Tapani Pallomeri

    Dave, you can be one of the first to try this new law. You will be charged a few thousand for that aged car. Now you can apply for it back, for example on the grounds that it hampers movement of good between EU countries. That car already had VAT paid on it presumably in the country it was bought in. Finland shouldn’t really have a right to retax it. Other countries don’t do it, except maybe some basic registration or inspection fees.

  • http://www.freeestateplanningbasics.com/ Estate Taxes

    I am really impressed with this new system Finland. I think one tax office is a good idea.

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