Finland Tax Agency Updates Guidance on Taxation of Pension Income

The Finnish Tax Administration Jan. 20 updated Guidance No. VH/5657/00.01.00/2022, on the taxation of pension income. Updates reflect regulations that entered into force Jan. 1 concerning changes in the pension income deduction, an increase in the basic deduction cap, and the elimination of the disability deduction. Topics covered include: 1) pension coverage under statutory and voluntary pension arrangements; 2) the taxability of pensions as earned income, capital income, and tax-free income; 3) conditional reductions in pension income; 4) the determination and calculation of taxable pension income; 5) the reduction of taxation when a pension is accumulated from previous tax years ...