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Finland Consulting on Forest and Interest Deductions

01 April 2025

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Proposed Changes

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Finland

Finland's Ministry of Finance has announced a request for comments on two proposed tax reforms. The first reform would increase the maximum amount of the forest deduction from 60% to 75% of the amount of taxable capital income from forestry received by a taxpayer. In addition, the maximum amount of the forest deduction would be increased to 75% of the total acquisition costs of forest properties. If approved, this would enter into force at the beginning of 2026 and apply for the first time for taxation in 2026. The second reform would amend the interest deduction restriction rules so that...