The Finnish government proposes to increase the VAT registration threshold from € 10 000 to € 15 000

Update (26.12.2024): Starting January 1, 2025, companies will be required to register for VAT if their turnover exceeds €20,000. The turnover will now be assessed based on the calendar year rather than the accounting period.

The Finnish government is proposing Amendments to the VAT Act. In order to reduce the administrative burden on small business, the lower limit of the VAT liability based on turnover for the financial year would be raised from € 10 000 to € 15 000.

Companies with a turnover of less than € 30 000 for the financial year (12 months) would still be entitled to the partial VAT relief. Those companies in the VAT register with a turnover of up to € 15 000 who are entitled to the partial VAT relief would receive a full refund of the amount of tax due as relief.

The law come into force at the beginning of year 2021.

The full information and the source text can be found at the Finnish Tax Administration website.