International situations in the Incomes Register
Employers and other payers will report wage and earned income to the Incomes Register from 1 January 2019 onwards. In international work situations, the income paid must always be reported to the Incomes Register if the payer has an obligation to inform an authority using Incomes Register data.
- For example, if the income earner is insured in Finland, the payer has an obligation to submit insurance-related data to the Incomes Register for use by earnings-related pension providers and other social insurance providers. It does not matter whether the income is paid by a foreign or domestic employer, or where the work is performed.
The data is reported to the Incomes Register in euros. If the payment was made in some other currency, the payment must be converted into euros using the ECB's reference exchange rate valid on the payment date.
Wages and earned income paid in 2018 and before will be reported separately to each authority as before. The last annual payroll information returns will be filed with the Finnish Tax Administration, earnings-related pension providers, occupational accident insurance providers and the Employment Fund for 2018.
Wage and earned income are reported on an earnings payment report
Income paid to both resident and non-resident taxpayers is reported on an earnings payment report. An earnings payment report is submitted separately for each income earner and each payment date. The same income types are also used in reporting, but an entry on non-resident taxpayer status is included in the income earner details of a non-resident taxpayer.
Data reported to the Incomes Register with the earnings payment report can either be mandatory data required for each report, or complementary data.
- Mandatory data includes, for example, data on whether the income earner is a non-resident taxpayer or whether the six-month rule applies to the wage income.
- Complementary data includes data necessary for data users granting benefits, who use it as grounds for granting or paying benefits. Other types of complementary data are taxes paid abroad, social security certificates, or income earner's work periods in Finland when the earner is not a leased employee.
When the payer submits the necessary complementary data with the data on wages paid, there is less need for clarifications afterwards. If the data is not reported, the data users may be required to separately request the data from the payer at a later date.
Additional data related to working abroad is also reported on an earnings payment report, such as NT1 data (tax is withheld in Finland, when work is performed in a different Nordic country), NT2 data (tax is not withheld in Finland) and data on periods of stay in Finland. A foreign employer who leases out employees to Finnish service recipients must submit an employee leasing notice.
- Please note that if the data is reported on an e-service online form or a paper form, it must be reported separately (information on international work).
The employer’s separate report is submitted employer-specifically
If required, employers must also submit an employer's separate report on data not involving an individual income earner. The employer's separate report is used to report the total amount of the employer's health insurance contributions paid and any deductions made thereof, and the "No wages payable" information of an employer registered with the Employer Register.
When will paid wages and other payments be reported to the Incomes Register?
Wages paid and other payments must be reported to the Incomes Register on an earnings payment report no later than on the fifth calendar day after the payment date.
- The payment date is the date on which the payment is available for use by the income earner, for example, available for withdrawal from the bank account (payday).
- Saturdays, Sundays and other holidays must be counted when determining the fifth calendar day after the payment date, but if the report's due date falls on a Saturday, Sunday or other holiday, the data can be reported on the following banking day.
- Data on the amount of wages for insurance purposes must be submitted monthly, no later than on the fifth day of the calendar month following the work.
- However, if both the actual wages paid and the wages for insurance purposes are reported on the same earnings payment report, the earnings payment report must be submitted no later than on the fifth calendar day after the payment date. (See the guide Reporting data to the Incomes Register: international situations, Section 220.127.116.11.)
- Information on international work:
- The NT1 report and NT2 report must be submitted no later than on the fifth calendar day after the payment date of the first wages paid for work abroad.
- However, data on the employee's periods of stay in Finland (so-called monitoring report) can be submitted by the end of January of the year following the year of payment.
- An employee leasing notice must be submitted no later than on the fifth calendar day after the first wage payment date.
- The employer's separate report is submitted on the fifth day of the calendar month following the wage payment.
The deadline for reports submitted in paper format is 8 calendar days instead of the usual 5. Data can be submitted on a paper form only in special circumstances, for example, if filing an electronic report is impossible for an individual, estate, casual employer or foreign national due to technical obstacles.
Data incorrectly reported to the Incomes Register must be corrected
Only corrections applying to reports submitted on 1 January 2019 and later are reported to the Incomes Register. See more information and examples on making corrections:
- Correcting earnings payment data reported to the Incomes Register
- Correcting data in the Incomes Register
- Reporting data to the Incomes Register: international situations
If payments made prior to 2019 are corrected in 2019 or later, the corrections should not be reported to the Incomes Register. Corrections to data on payments made prior to 1 January 2019 are made directly to the appropriate authority.