What is VAT?
VAT is a so-called consumption tax that affects almost all products and services. The selling party adds VAT to the price of the product or service being sold, the amount of which varies between the services and the products.
The general VAT rate in Finland is 24%, but other VAT rates are also used.
Details of current VAT rates can be found on the tax authorities page.
VAT liability
The liability to VAT is depend on many factors, the main things are which is the company’s industry and the size of the company’s operations.
On this page, we take a closer look at what the different VAT rates are and what reverse VAT means.
You can also find more information about the industries subject to VAT and the special conditions regarding the scope of operations in the links below.
What kind of activity is or can be registered in the VAT register?
VAT Law
The VAT law provides a more detailed information and regulations for VAT.
The law can be found here. (law only in Finnish and Swedish)
VAT calculator
If you want to calculate and estimate the share of VAT already, then you should try the VAT calculator prepared by the tax authorities. With the help of the VAT calculator, you can easily calculate the share of the tax and thereby think more closely about the pricing of your product or service.
Different VAT rates in accounting
Depending on your industry and activity, you may have many different VAT rates. This may sound difficult, but we’ll be happy to advise you on any of these.
In terms of accounting, this is handled easily and we take care of everything for you.
Read more about our bookkeeping service.
Reverse VAT
Reverse charge refers to a situation in which, contrary to the usual practice, the purchaser is liable to pay VAT on the sale. This is only used in certain situations, so its use is very limited.
In terms of accounting, this also has a direct effect on the customer’s own operations. For example, with regard to invoicing, it is important to read the instructions so that the invoice contains sufficient entries when using reverse charge VAT.
If you need more information, we will be happy to advise you.
Further information can also be found, for example, on the tax authorities website: