Finland MOF Announces Government’s Agreement on Public Finance Plan for 2026-2029

The Finnish Ministry of Finance April 23 announced the government’s agreement on a public finance plan for 2026–2029, including several tax changes, which will be approved at the government’s April 30 plenary session. The plan includes measures to: 1) reduce the corporate income tax rate to 18 percent from 20 percent; 2) reduce earned income taxation by approximately 1.1 billion euros (US$1.25 billion), with a focus mainly on low and middle-income earners; 3) increase the child allowance for the earned income deduction, from 2026; 4) reduce the highest marginal tax rates on earned income taxation to 52 percent by removing ...