arvonlisäverollisena

Arvonlisäverollisena is a Finnish term that translates to "as a value-added taxpayer" or "subject to value-added tax" in English. It indicates that a business or individual is registered for and obligated to charge and remit value-added tax (VAT) on their taxable goods and services.

In Finland, VAT is a consumption tax levied at each stage of the production and distribution chain. Businesses that are arvonlisäverollisena collect VAT from their customers and then deduct the VAT they have paid on their own purchases. The difference is remitted to the Finnish Tax Administration (Verohallinto).

Businesses become arvonlisäverollisena when their annual turnover exceeds a certain threshold, which is set by law and can be subject to change. Once registered, they are required to display their VAT number on invoices and other official documents. Failure to comply with VAT regulations can result in penalties.

The term is commonly encountered in business contexts in Finland, particularly in financial statements, invoices, and discussions related to taxation. It signifies a business's compliance with the Finnish VAT system and its role within the broader economic framework where VAT is a significant source of government revenue. The specific VAT rate applicable depends on the type of good or service being provided.