Taxes in Finland are levied by the central government,
local municipalities and the church. For
businesses, the main taxes are corporation tax
(profit tax) and real estate tax. Other taxes consist
of an assets transfer tax (formerly stamp duty) and
a withholding tax. The employers are also required
to make a social security contribution.
Individuals have to pay a progressive income
tax from their salaries. Foreign personnel working
in Finland for longer than a six-month period are
also required to pay Finnish income tax. This guarantees
that all residents continue to receive toplevel
public health care, free schooling for children,
and other valuable public services. Private
individuals’ income tax has come closer to the
European average level in recent years in Finland.