Buyer of real estate – remember the transfer tax and registrations of title
File and pay transfer tax if you are buying:
- A real estate unit, which may consist of
- a plot of land and the buildings located there, i.e. a house, etc.
- a subdivision of land and a summer cottage located on it
- Real property in the form of woodlands or agricultural fields
- A fractional share in a parcel of land
- A building located on leased land with a transferable contract of lease (a leasehold right). For example, a single-family house on a plot leased from the local municipal administration.
File the return
Submit the transfer tax return to the Tax Administration by the time when you apply for registration of the transfer of title. You must submit a request the appropriate registrations to the National Land Survey in 6 months from signing the contract. Even if a realtor assists you when you buy real estate, you must file your transfer tax return for it independently.
- If you buy together with a co-buyer – typically your spouse – both of you must submit a transfer tax return.
- To complete the return, you should have the purchase and sale agreement or other contract on hand.
- However, you generally do not have to add very many enclosures. In MyTax, a window will appear that tells you whether an additional enclosure must be attached or whether it is enough if you just complete the tax return.
The paper-printed form can be used by individual taxpayers, general partnerships and limited partnerships.
Pay the tax
Pay your transfer tax no later than by the time when you apply for registration. You must submit a request the appropriate registrations to the National Land Survey in 6 months from signing the contract.
- If you use MyTax to send the payment, reference numbers and other bank details are automatically transferred to the template for processing by your e-banking service. MyTax calculates the amount of transfer tax.
- If you pay via your personal e-bank instead, you need the bank account number for the Tax Administration and the bank reference number for transfer tax. To get the bank account and reference numbers, you can:
- Look them up in MyTax: Checking the bank account and the transfer tax reference number
- Call the service telephone number +35829 497 026 (Payment transactions, limited service available in English, standard call rates)
The amount of tax to pay must have 2 decimal points. After you have made the necessary calculations to arrive at the right tax, round it out to the nearest cent as usual. Example: your calculation result is €345.67890. You must round out the result in order to pay €345,68 as your tax.
If there is more than one buyer – two spouses, for example – each must pay their own share of the transfer tax on a separate bank transfer and enter their personal reference numbers. The amount will be displayed as a paid tax in MyTax on the following business day or the day after that.
You receive a certificate of transfer tax
Normally, after you have filed and paid, a certificate proving this will appear in MyTax in 2 days. Finding the certificate in MyTax. It is also sent to you by post.
If you file your return on paper, wait for the certificate of transfer tax to become available in MyTax a little later.
Request registrations, either for ownership or leasehold
Ask for registration of your ownership by confirming the transfer of title to you or for registration of your lease contract with the National Land Survey in 6 months from the date of signing the contract. If your purchase of property is handled in the Property Transaction Service, the automatic system will create a registration application for you.
Please note that you must file a transfer tax return and pay the tax before you can request registration. You do not have to enclose a certificate on paid transfer tax with the request. When both the payment and the return have arrived at the Tax Administration, the National Land Survey of Finland is automatically notified of the fact that you have taken care of your transfer tax.
Enclose the Tax Administration’s statement if you have received one. The statement may concern the amount of your transfer tax, etc. However, you may previously have asked for the statement to be delivered to the National Land Survey directly. In this case, you do not need to enclose it.
Amount of transfer tax on real estate property
The rate of transfer tax is 4% on the price paid, or on the value of other consideration or compensation. You can use the transfer tax calculator to help with your calculations.
However, it may be that it remains unclear what exactly is the tax base. If you find yourself in this situation, you can ask for a Tax Administration’s statement regarding the amount of transfer tax.