In its budget debate for 2021, the Government has decided to introduce a so-called exit tax, ie a value added tax, in Finland from the beginning of 2023. This will extend Finland’s right to tax capital gains when a person moves out of Finland.
The implementation and details of the exit tax are still open. It is likely that the tax will be based on the estimated value of the property at the time of emigration, so that the tax penalty would be similar to if the property had been sold on departure. The tax can therefore have significant effects if you move from Finland and sell your business or part of it. Of course, the tax can also have an effect if, for example, you engage in other investment activities and are considering moving from Finland.
If you have considered moving abroad, for example to work, study, expand your business or spend relaxing retirement days. The exit tax applies to you, so you should consider the timing and arrangement of the move when planning. We are constantly monitoring the progress of this matter so that we can tell our customers just the right and up-to-date information.
