Yritysverotus

Yritysverotus refers to the system of taxation that applies to businesses. In Finland, this primarily involves corporate income tax, which is levied on the profits of limited liability companies and other legal entities. The current corporate income tax rate in Finland is 20%.

The taxable income of a company is calculated by subtracting deductible expenses from its gross revenue. Common deductible expenses include operating costs, such as salaries, rent, raw materials, and marketing. Depreciation of assets is also a significant deductible expense. Losses incurred in a fiscal year can generally be carried forward to offset future profits, providing a form of tax relief for companies experiencing temporary downturns.

Certain industries or business activities might be subject to specific tax provisions or incentives. For instance, research and development activities can sometimes benefit from tax credits or accelerated depreciation. Dividends paid by a company to its shareholders are typically subject to withholding tax.

The administration of company taxation is handled by the Finnish Tax Administration (Verohallinto). Companies are required to file annual tax returns detailing their income and expenses. Tax audits are conducted to ensure compliance with tax laws. The principles of yritysverotus aim to balance the need for government revenue with the objective of fostering a competitive business environment. International aspects of company taxation, such as transfer pricing and double taxation agreements, are also important considerations for businesses operating across borders.