Kodinhoitoavustusvähennys

Kodinhoitoavustusvähennys is a tax deduction available in Finland for household expenses incurred by individuals. This deduction allows taxpayers to reduce their taxable income by a certain amount for specific services performed in their home or at their permanent residence. The purpose of the deduction is to encourage the use of professional services for household tasks, thereby supporting the domestic service sector and improving work-life balance for individuals.

To be eligible for the deduction, the services must be performed by a company or a self-employed individual who is registered for VAT and has their place of business in Finland or another EEA country. The services must also be of a type that is considered a household task. Examples include cleaning, laundry, ironing, window washing, and minor repairs. The deduction is personal, meaning it can only be claimed by the individual who pays for the services. There are annual limits on the total amount that can be deducted.

The taxpayer must have proof of payment for the services, such as invoices and bank transfer records, to claim the deduction. This information is typically reported when filing annual income tax returns. The exact rules and eligible services can be found on the Finnish Tax Administration's (Verohallinto) website. The deduction aims to make it more financially viable for individuals to outsource domestic chores, freeing up time for other pursuits.