VAT in Finland 2026: rates and the registration threshold
Finland’s standard value-added tax is 25.5%. The reduced rates are 13.5% (including food, restaurants, medicines, books, sports, accommodation and passenger transport) and 10% (from 2026, only newspapers and magazines). Export outside the EU is 0%.
A small business must register for VAT when its calendar-year turnover exceeds €20,000. Below are all the rates, the price formula and the registration rules.
- 25.5%
- standard VAT rate
- 13.5%
- reduced (food etc.)
- 10%
- press
- €20,000
- registration threshold /yr
VAT rates 2026
The standard rate of 25.5% (raised from 24% on 1 Sep 2024) applies to most goods and services. The reduced 13.5% was lowered from 14% on 1 Jan 2026. The reduced 10% from 2026 applies only to the press. The zero rate covers export outside the EU and B2B EU sales; fully exempt are healthcare, insurance and financial services, and residential rent.
| Rate | Applies to |
|---|---|
| 25.5% | Most goods and services |
| 13.5% | Food, restaurants, medicines, books, sports, accommodation, passenger transport |
| 10% | Newspapers and magazines |
| 0% | Export outside the EU, B2B EU sales |
| Exempt | Healthcare, insurance and financial services, residential rent |
How is VAT added to a price?
Price with VAT = price without VAT × (1 + rate). For example, €100 + 25.5% VAT = €125.50, so the tax share is €25.50. To separate the tax from a VAT-inclusive price: tax = inclusive − inclusive ÷ (1 + rate), i.e. €125.50 − €125.50 ÷ 1.255 = €25.50.
When is VAT registration mandatory?
When calendar-year turnover exceeds €20,000 (the threshold rose from €15,000 to €20,000 on 1 Jan 2025 and the lower-limit relief was abolished). VAT must be added to sales from the moment the threshold is crossed — not only the next year. If registration is late, VAT is charged retroactively. A business below the threshold can register voluntarily and deduct the VAT on its purchases.
Calculators for this topic
FAQ
How much is VAT in Finland in 2026?
The standard VAT is 25.5%. The reduced rates are 13.5% (including food, restaurants, medicines, books, sports, accommodation, passenger transport) and 10% (newspapers and magazines). Export outside the EU is 0%.
How is VAT added to a price?
Price with VAT = price without VAT × (1 + rate). For example, €100 + 25.5% VAT = €125.50, so the tax share is €25.50.
What is the VAT on food in 2026?
The VAT on food is 13.5% (lowered from 14% on 1 Jan 2026). The same reduced rate applies to restaurants, medicines and books.
When must an entrepreneur register for VAT?
When calendar-year turnover exceeds €20,000. Below the threshold you need not charge VAT. The former lower-limit relief has been abolished.
Can I register voluntarily below the threshold?
Yes. A voluntarily registered business can deduct the VAT on its purchases. This can be worthwhile if your customers are themselves VAT-liable businesses.