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Generic Tax Name Tax on real estate - Real property tax
Tax name in the national language Kiinteistövero/Fastighetsskatt
Tax name in English Real property tax
Member State FI-Finland
Tax in force since 1992/07/20
If abolished, date on which the tax ceases to apply
Business version date 2015/01/01
Version date 2015/02/17
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax
Other
Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco
Other
Social security contribution Employers
Employees
Other
 
Legal base

Act on Real Property Tax of 20 July 1992 (654/1992).
 
Who sets
The tax rate is set by



The tax base is set by



The reliefs are set by




Comments
 
Beneficiary





Comments

 
Geographical Scope

 
Taxpayers

Persons who own taxable property in the beginning of the calendar year.
 
Tax object and basis of assessment

Real property situated in Finland.
 
Deductions, Allowances, Credits, Exemptions

Exemptions:

  • Forests, water areas and agricultural land.
  • Public places, streets, cemeteries and similar premises. The municipalities are not liable to pay tax to themselves.
  • Diplomatic and consular property to the extent provided for in international agreements.

In the case of residential housing companies and other corporations being the legal owners of their properties, the company or corporate body is liable for the tax.
 
Rate(s) Structure

Each municipal council determines annually the applicable tax rates within statutory limits.

Each council has to set at least two tax rates: a general property tax rate and a rate for buildings used primarily as permanent residences. The general rate may vary between 0.8 % and 1.55 % whereas the rate for permanent residences may vary between 0.37 % and 0.8 %.

Moreover, the municipal council can decide on a higher rate applied to buildings used as second residences (i.e. summer houses). That rate can be not more than 0.6 %-points higher than the tax rate applied to permanent residences.

The municipal council can also decide upon separate tax rates to be applied to power plants; this rate cannot exceed 2.85 %. The general rate applies to hydroelectric power plants and wind power stations with maximum power output less than 10 mega electron volts.

Special rates apply for vacant building sites. The rate may vary between 1.5 % above the general tax rate in the municipality concerned and 3.0 %. 

A municipality can deviate from these percentage figures in respect of buildings and land owned by non-profit organisations, provided that the building is used for public utility or for other public purposes.
 
Tax due date

 
Tax collector

The tax is payable in two instalments if it is € 170 or more, otherwise it is payable in a lump sum.
 
Special features

Beneficiary

The municipality in which the real property is situated.

Non-residents

Non‑residents are liable to the real estate tax.
 
Economic function







Comments
 
Environmental taxes



Comments
 
Tax revenue
ESA95 code d59aa

Year
Annual tax revenue (millions)
Currency
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2012 1,270.00 EUR 0.64
2011 1,199.00 EUR 0.61
2010 1,169.00 EUR 0.62
2009 974.00 EUR 0.54
2008 914.00 EUR 0.47
2007 850.00 EUR 0.46
2006 785.00 EUR 0.46
2005 725.00 EUR 0.44
2004 684.00 EUR 0.43
2003 661.00 EUR 0.44
2002 634.00 EUR 0.43
2001 604.80 EUR 0.42
2000 569.50 EUR 0.42

Comments