What do associations report to the Incomes Register?

3/29/2019

Data on wages and fees paid is reported to the Incomes Register. Associations, too, must report data to the Incomes Register.

Data must be submitted to the Incomes Register within five calendar days of each payment transaction. The Incomes Register only regulates the reporting of data. Instead, the Incomes Register has no control over when the income is paid. The payer must submit the data to the Incomes Register.

An association or organisation can calculate wages in the free of charge Palkka.fi service, in which case the data will be transferred to the Incomes Register automatically. Therefore, a separate report to the Incomes Register need not be submitted.

Watch video (in Finnish): Non-profit organisation - reporting daily allowances and kilometre allowances to the Incomes Register (YouTube, 6:15 minutes) 

What should a non-profit organisation take into account when reporting to the Incomes Register?

Kilometre allowances and daily allowances

When a non-profit organisation pays daily allowances or kilometre allowances, for example to a person participating in voluntary work for no remuneration, the payments must be reported to the Incomes Register.

A public transport ticket and reimbursement of accommodation expenses are not reported to the Incomes Register.

A non-profit organisation reports the allowances it has paid by using its own income types:

  • 'Kilometre allowance paid by non-profit organisation' is reported using the income type 357
  • 'Daily allowance paid by non-profit organisation' is reported using the income type 358.

See the instructions in Section 5.11 for more information on reporting the expenses and fees paid to a voluntary worker (in Finnish).

Contest prizes

Contest prizes are reported to the Incomes Register only when they are taxable income and the prize received has monetary value.

Objects that have no actual exchange value need not be reported to the Incomes Register. Such objects include trophies, medals, and pennants, bags of sweets and packets of coffee, or small material prizes, like baseball caps, which are given out for advertising purposes.

If a separate contest organiser gives a prize to the winner, a taxable prize must be reported to the Incomes Register. Thus, prizes given in contests between friends need not be reported.

Please report material contest prizes using the income type 316 'Other taxable income deemed earned income'.

Thank you gifts

Thank you gifts are not reported to the Incomes Register if the gift meets the requirements for tax exemption.

Non-profit organisations tend to remember the volunteers in their voluntary activities, for instance annually, for the work that they perform for no remuneration for the good of the organisation. Inexpensive material gifts given to volunteers and members of non-profit organisations as a sign of gratitude are tax-exempt when they are not agreed to be compensation for work.

Read more (in Finnish): Questions on tax prepayment relating to non-profit organisations' and public sector entities' voluntary activity.

Report to the Incomes Register electronically

Online transactions are a basic requirement of the Incomes Register and data may be submitted on a paper form only in special circumstances. Situations where electronic submission of data cannot reasonably be required can be considered special circumstances. Data cannot be reported to the Incomes Register by phone, but must be reported in a certain format electronically.

You can also report data in the Incomes Register's e-service

Data can also be reported to the Incomes Register via the Incomes Register's e-service, either by uploading the data as a file or by manually entering the data into an online form.

The Incomes Register's e-service requires identification using online banking codes, a mobile certificate, a certificate card, or Katso ID via the incomesregister.fi page.

The use of the e-service may require an authorisation

Without a separate authorisation, only the Katso Master User can report data. An association can authorise an accounting firm or a treasurer, for example, to act on its behalf in the Incomes Register's e-service. The association must give authorisations in the Katso service, and the authorisation can be given by the association's Katso Master User. Old authorisations are not valid, as the Incomes Register is a new service. The authorisation codes 'Reporting earnings payment data' and 'Browsing earnings payment data' are used in the Incomes Register.

Read more about the Incomes Register's authorisation