Category: Value Added Tax

Financial and insurance services are exempt from value added tax, with the scope of the exemption set out in law in considerable detail. However, the VAT treatment of other services supplied in connection with financial and insurance services can come as a surprise if the related VAT issues are not addressed in time. It is…

In Finland, the supply of social welfare and healthcare services is exempt from value-added tax under certain conditions. However, if these conditions are not properly met, VAT on such services may lead to significant costs. Determining the applicability of the exemption in advance is particularly important in chain supply arrangements to ensure correct VAT treatment…

In statutory audits, value-added taxation is often given only limited attention, which can result in material VAT risks remaining unidentified. However, when supported by the right expertise, the audit process presents a valuable opportunity to uncover VAT-related exposures. At Tuokko, auditors and VAT experts work in close collaboration to ensure that this opportunity is fully…

Earlier this year, we explored certain aspects of VAT and transfer pricing in our article. The Court of Justice of the European Union (CJEU) has now delivered one of the preliminary rulings referred to therein, providing further clarification on these matters. In the decision, the CJEU did not expressly rule whether a price established using…

Transfer pricing refers to the pricing of transactions between related parties in accordance with the arm’s length principle. In particular, retrospective adjustments to pricing (transfer pricing adjustments) may often create uncertainty regarding their VAT treatment. Value-added taxation fundamentally differs from corporate income taxation in nature, which may lead to the perception that a transfer pricing-related…

Do you sell goods purchased from different countries abroad, also installed, and buy services abroad? VAT liability when buying goods as import VAT registration in the destination country is usually necessary if you act as the importer yourself or if you have intra-community acquisitions in other EU member states. If the goods are sold installed,…