arvonlisäverilain

Arvonlisäverilaki, often abbreviated as ALV-laki, is the Finnish legislation governing Value Added Tax (VAT). This law establishes the framework for taxing the consumption of goods and services within Finland. It outlines who is liable to charge VAT, which transactions are subject to VAT, the applicable tax rates, and the procedures for claiming input VAT. The core principle of VAT is that it is a tax on the difference between the price of goods and services sold and the cost of the inputs used to produce them. Businesses are generally responsible for collecting VAT from their customers and remitting it to the Finnish Tax Administration (Verohallinto).

The Arvonlisäverilaki specifies different VAT rates depending on the type of good or service. The standard rate applies to most goods and services, while reduced rates are in place for certain items such as food, books, and cultural services. Some goods and services are exempt from VAT entirely, such as healthcare and certain financial services. The law also details the criteria for VAT registration, the invoicing requirements for VAT-registered businesses, and the deadlines for submitting VAT returns and payments. Amendments to the Arvonlisäverilaki are periodically made to align Finnish VAT regulations with European Union directives.