Tax refunds
This guidance applies to both individual taxpayers, and companies and organisations.
How much will I be refunded?
You can check the amount of your refund in MyTax or the tax decision sent to you by post.
Please note that if the Tax Administration has used your refund money to pay for your unpaid, overdue taxes, this will not be reflected in the amount you see on the home page. To check how the Tax Administration has used the money that could have been refunded, go to the “Payments and refunds made” tab.
Read more:
- How to check your tax refund in MyTax
- Visit MyTax to see how your tax refund has covered your unpaid taxes
When are tax refunds paid out?
If you are an individual taxpayer, self-employed operator of a trade or business, or an agricultural operator or forestry owner, the tax refund for 2017 will be paid into your bank account on 11 December 2018. Refunds are also paid on that day to partners of general and limited partnerships.
Corporations and joint administrations, or limited liability companies, cooperatives, associations and foundations, have their own refund dates. Tax refunds for corporations are paid into bank accounts on the fifth day of the second month following the closing date of tax assessment. If this does not fall on a weekday, the refund is paid on the next possible weekday.
Read more about the closing of tax assessments for corporations.
Into which account will the refund be paid?
Tax refunds are paid into the bank account you have reported to the Tax Administration. Check the bank account number in MyTax, the pre-completed tax return or the tax decision. If necessary, let the Tax Administration know about your new or changed account details. The bank account number cannot be submitted by telephone.
Read more about how to change your bank account details.
Why didn’t I receive the refund in my bank account?
Examples of situations where you do not receive the refund in your bank account:
- You have reported the wrong bank account number, such as the number of a closed account.
- You have not given us a bank account number.
- We have used the refund for unpaid taxes or your tax liabilities.
- The enforcement authorities have used the refund for the payment of debts subject to enforcement proceedings.
- The refund has been under €5 (the refund limit for self-assessed taxes is €20).
- You have submitted a bank account number other than your own, such as the account number of a quick-cash loan company.
- You have failed to submit the required tax returns (the VAT return, etc.) or there are significant deficiencies in them.
How do I get my refund if I have not given my bank account number or my account has been closed?
If you have not let the Tax Administration know your new bank account number, or if the refund was transferred to a bank account that has been closed, the amount will be returned to the Tax Administration. In this case, we will send you an inquiry about your bank account number by post. When you submit your new bank account number in MyTax, the refund will be transferred to you in about a week.
If you have not submitted your bank account number to the Tax Administration, it will pay the refund through a money order through the OP Bank as of 19 December 2018. Corporations and joint administrations have their own refund dates.
The OP Bank sends you a notice of the money order to the address you have provided to the Tax Administration. For you to be able to accept the money order, you must have an address in Finland. Once you have received a notification of a money order, you can cash the refund at a branch office of OP Group providing cash withdrawal and deposit services within 28 days from the date of the notification. For more instructions, refer to the notification sent by the bank. We recommend bringing along the notification when cashing your refund.
If you have not cashed the money order within 28 days, the bank will return it to the Tax Administration. After this, you will receive an inquiry about your bank account number by post. When you have submitted your bank account number in MyTax, the refund will be paid into your account in around a week.
Please note! A refund paid into your bank account will reach you much sooner than a refund via a money order.
Cashing a money order is subject to a fee
OP Bank branch offices charge a service fee for cashing a money order based on their price list for services. Due to the fee, the Tax Administration does not pay refunds of under €15 as money orders, unless requested to do so by the taxpayer.
Interest paid on refunds
The Tax Administration pays credit interest on refunds. For individual taxpayers, interest is paid on 2017 refunds for the period from 1 February to 30 November 2018.
Interest on refunds to corporate taxpayers is paid from the beginning of the second month following the end of the financial year until the day when the amount being refunded is debited from the Finnish Tax Administration's account or used for payment of taxes. If a corporation has paid taxes after the month following the end of the tax year, interest is calculated from the first day following the payment date.
In 2018, the interest rate on tax refunds is 0.5%.
The credit interest paid on self-assessed taxes is 0.5%.
No credit interest is paid on refunds of prepayment or supplementary prepayment. These taxes can be refunded within a week from the date when the Tax Administration has reviewed the conditions for the refund.
Other types of tax refunds
The Tax Administration also pays other types of refunds, for example, based on an appeal process or readjustment.
The taxpayer receives a decision stating the amount to be refunded. These refunds are usually paid within a week of the date of the refund decision, into a bank account reported by the taxpayer.
Q&A
If you have overdue balances of taxes from before, the Tax Administration will apply the money that would otherwise be refunded to you to settle the taxes you owe. This can be done after 31 October, i.e. the day when the Tax Administration's assessment process is ended. You will receive a letter stating that your refund has been used for this purpose.
Use of tax refunds for payment of inheritance tax
Let us assume you have an inheritance tax to pay, and its due date is 1 November. If you pay this inheritance tax before its due date, your payment will be used on the inheritance tax. But if you don't pay the inheritance tax until on its due date, or if you pay it after the due date, the Tax Administration will use your upcoming tax refund for covering the inheritance tax. If this happens, the payment you had made on the due date (or on a date after that) of the inheritance tax will be refunded to you in a week.
Use of tax refunds for payment of VAT or other self-assessed taxes
Let us assume you have a self-assessed tax falling due on 12 November. If you pay it by 8 November and use the bank reference number for self-assessment when you transfer the payment to us, your payment will be used on the tax. But if you don't pay it until after 8 November; for example, you pay it on its due date 12 November, the Tax Administration will use your upcoming refund for covering it. In this case, the amount you paid us with the reference number of self-assessed taxes will be sent back to you unless you have other taxes overdue. When we send it back, we observe your MyTax settings of refund limit and refund dates. You can also submit an application in MyTax to have your payment sent back to you. Then we will refund it to you in a week unless you have other taxes overdue.
In most cases, tax refunds will not be used to pay for taxes that are due after 12 November.
If you have unpaid taxes, the refund will be used to cover the payments of your unpaid taxes. In other words, the refunded amount is reduced by the amount you owe in taxes. Tax refunds are also used for payment of taxes collected by enforcement authorities.
You will receive notification in MyTax or by post, if your refund has been used for covering tax payments.
Your refund may be used for the payment of those taxes for which you are liable. In other words, the refunded amount is reduced by the amount you owe in taxes.
We will send you a notification that your refund has been used for covering tax payments, and a similar notification to the corporation whose tax liabilities have been covered from your refund.
The Tax Administration cannot pay the refund into your bank account if it has been transferred to the bank as a money order. If necessary, contact a branch office of OP Group.
If you do not cash in your refund as a money order, the bank will return it to the Tax Administration. The money order must be cashed within 28 days of the date of the notification you have received. After this, we will pay the refund into your bank account as soon as you have provided us with your bank account number.
In 2019, the tax assessment period will end individually on the date given on each taxpayer's tax decision. The payment date of the refund and the due date of back taxes are designated in accordance with the end date of the taxpayer's tax assessment. Taxation may end significantly earlier than it does now, and, at the same time, the payment date of the potential refund will occur earlier. To most people, in the future tax refunds will be paid as early as August. You can see the refund amount in the tax decision sent to you by post, or in MyTax.
The payment date of refunds will be affected by:
- The end date of your tax assessment
- Changes you have made in the tax return
- Changes your spouse has made in his or her tax return.