Coming to work for a Finnish employer
If you work for a Finnish employer, you are usually liable to pay Finnish taxes on your pay. If your employer operates business in Finland and has a permanent establishment in Finland, they are treated as a Finnish employer even if they were from outside Finland.
Your taxation may be different if you are
Your taxation depends on how long you stay in Finland.
If you stay in Finland for no longer than 6 months, you are considered a non-resident taxpayer. This normally means that you must pay tax at source on the income you receive from Finnish sources.
If your employer is Finnish or has a permanent establishment in Finland, tax is withheld at source on income that you receive for the work you do in Finland. The tax at source is usually 35%. If your country of residence is an EU country, Norway, Iceland or Liechtenstein or a country that has a tax treaty with Finland, you can ask to be taxed progressively.
See further instructions if you will be working in construction.
APPLY FOR A TAX-AT-SOURCE CARD
The tax card may include a deduction for tax at source: €510 per month or €17 per day. When you have a tax-at-source card, your employer can make the deduction from your income before the tax is withheld.
Give the original copy of the tax card to your employer. The tax at source is a final tax. You do not need to file a tax return to the Finnish Tax Administration.
Example: If you are paid €2,000 per month and you have no tax-at-source card, the tax is 35% or €700. If your employer has received a tax-at-source card from you with instructions for giving you a tax-at-source deduction, the tax is €521.50 (= (€2,000 – €510) × 35%). Remember that your gross taxable pay includes fringe benefits (such as free meals, room and board, etc.) as well as your wages.
PRESENT YOUR A1 CERTIFICATE
You can get an A1 certificate from your country if you are coming from another EU or EEA state or Switzerland. A1 is a certificate on social insurance coverage issued by the authorities in your home country.
If you have an A1 certificate, you do not need to pay any insurance contributions.
If you do not have an A1 certificate:
- Your employer withholds mandatory pension insurance and unemployment insurance contributions from your pay and remits them to insurance companies.
- If you are covered by the Finnish health insurance scheme based on your work, your employer will also withhold a health insurance contribution from your pay (health care contribution and daily allowance contribution). Read more about health insurance contributions for individuals coming to work in Finland.
For more information, see
REPORT YOUR FINNISH-SOURCED INCOME IN YOUR HOME COUNTRY
Your home country usually has the right to tax the income you receive from other countries. Remember to report the income that you receive from Finland to your home country’s tax authorities.
Your employer gives you a pay slip that shows the amounts paid to you and the taxes withheld on them at source. You may need to show the pay slip to the tax authorities of your home country. If your country imposes a tax on foreign-sourced income, it will also remove any double taxation on it.
If you come to Finland temporarily but stay for longer than 6 months, you are treated as a resident taxpayer. This means that you will usually have to pay tax to Finland on all the income you receive. However, your home country and Finland may have signed a tax treaty that prohibits Finland from taxing the income you receive from outside Finland.
If you have a Finnish employer, your tax depends on your annual gross income according to a progressive scale. You will need a Finnish personal ID and a tax card.
See further instructions if you will be working in construction.
APPLY FOR A FINNISH PERSONAL ID
You must visit a tax office to sign the form after you have filled it in.
RESERVE AN APPOINTMENT AT A TAX OFFICE
You must visit a tax office so that you can be identified and you can be given a personal ID.
Please bring the following with you:
- the forms you have filled in
- a valid passport or official proof of identity (not a driver’s licence)
- a valid residence permit or visa if necessary
- photocopy of your work order or employment contract
- a written account given by your employer regarding your work in Finland, if the following information is not included in your work order or employment contract:
- employer details
- the party in Finland who ordered the work
- your full name and date of birth
- length of employment in Finland including start and end dates
- place of work and a short description of the work to be done
- photocopy of A1 certificate, if you have one (A1 is a certificate on social insurance coverage issued by the authorities in your home country). You can get an A1 certificate from your country if you are coming from another EU or EEA state or Switzerland.
If you cannot log in to MyTax, make an appointment by calling 029 497 050 (if you are calling from abroad, +358 29 497 050).
The Tax Administration makes sure that your tax matters are in order. We will send you a tax card or instructions for making prepayments.
GIVE THE TAX CARD TO YOUR EMPLOYER
When you start working, give the original copy of your tax card to your employer. Based on your tax card, your employer will withhold tax on your pay.
Remember to file a Finnish tax return
You must file a Finnish tax return if you stay in Finland for longer than 6 months. The Finnish Tax Administration will send you a pre-completed tax return form in the spring following the year when you worked in Finland. Check the information printed on the pre-completed tax return form.
If all the information on the pre-completed tax return is correct, you do not need to do anything. You have received your final assessment decision as an enclosure to the tax return form.
If the pre-completed tax return does not have your income information or some information is missing, make the necessary corrections in MyTax or on paper forms. You must also include all income that you received from foreign sources during your stay in Finland.
You will receive a new tax decision in the autumn with the final amounts of taxes. If you have paid too little, you will be given instructions on how to pay back taxes. If you are not satisfied with the tax decision, instructions for appeal are enclosed with it.
If you do not receive a pre-completed tax return, you must file a return at your own initiative in MyTax or on paper forms.
Normally, you will not have to report income that you have received
- before you moved to Finland
- after you moved out from Finland.
This income is normally not taxed in Finland. However, if you receive income that is connected to your work in Finland (such as stock option benefits), this income is normally subject to Finnish tax.
Employer: Guidance on how to help your construction workers with their tax matters before they start working.