October 2019
Non-Finnish key employees’ salary income tax will decrease to 32%
The Government has proposed amendments to the Act governing the tax-at-source of so-called key employees working temporarily in Finland. As of 1996, certain key employees have been eligible for a tax-at-source of 35% on income from employment instead of the progressive taxation. The regime is applicable for a maximum period of four years.
The Government has proposed in its Bill that the tax-at-source will decrease to 32%. The new tax rate would be applied to salary income paid as from 1st of January 2020. Currently the Act is provisional, but in the Government Bill it is also proposed that the Act will be permanent.
The Government has proposed in its Bill that the tax-at-source will decrease to 32%. The new tax rate would be applied to salary income paid as from 1st of January 2020. Currently the Act is provisional, but in the Government Bill it is also proposed that the Act will be permanent.
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The information in this site has been prepared for general informational purposes only and it should not be used as a substitute for consultation with a professional tax, legal or other competent advisor. While we have made every attempt to ensure that the information contained in this site has been obtained from reliable sources, Effektiivi Oy is not responsible for any errors or omissions, or for the results obtained from the use of this information.
