Incomes Register for associations
Should a non-profit association report to the Incomes Register the kilometre allowances it has paid?
Yes. The data is reported using the income type 357 (Kilometre allowance paid by non-profit organisation).
Should a non-profit association report to the Incomes Register the daily allowances it has paid?
Yes. The data is reported using the income type 358 (Daily allowance paid by non-profit organisation).
Commemorative gifts are not reported to the Incomes Register if the gift meets the requirement for tax exemption. For more information, see the Tax Administration's instructions (in Finnish): Questions on tax prepayment relating to the voluntary activity of non-profit organisations and public sector entities.
Should the prizes in a competition organised by an association be reported to the Incomes Register?
Competition 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.
How is remuneration paid by a non-profit association (e.g. a sports club) to another similar association, for example in the context of a sports competition, reported to the Incomes Register? That is, one association organises a competition and the other association (club) wins and is given a prize.
If the winner of a prize in a sports competition is an association and the prize is related to a non-profit association's non-profit activities and not to business activities, it is considered tax-exempt income from a personal source of income. Because the payer cannot know which of the two is in question, it must withhold taxes if the recipient is not registered in the prepayment register. If the association is not registered in the prepayment register, information concerning the prize paid to the association must be reported to the Incomes Register as non-wage compensation for work using the income type 336 (Non-wage compensation for work).
If an association pays kilometre allowances and non-wage compensation for work, must the association submit an employer's separate report? The association is not registered in the Employer Register.
In addition to an earnings payment report, the association must submit an employer's separate report if the association pays tax-exempt reimbursements of expenses. It does not matter whether the association is registered in the Employer Register or not.
Because no health insurance contribution is paid from tax-exempt reimbursements of expenses, the amount of health insurance contribution is reported in the separate report as EUR 0. For more information, see the instructions Reporting data to the Incomes Register: employer’s separate report.