Government measures in key jurisdictions 3rd edition final - Flipbook - Page 50
Finland
Contractual
Issues
•
The Finnish government has not introduced new legislation due to the COVID-19 pandemic
that would specifically reinforce contracts between commercial entities and the normal
contractual rules apply.
What measures
have been taken
to reinforce
contracts?
•
No particular changes have been made to the laws around property or leasing. However,
below we have listed some elements worth considering.
•
Some tenants, especially within restaurant and hospitality industries, have requested a
temporary adjustment to the rent payable under their leases, including rent holidays or
deferment. Some of such requests have also been approved by the landlords.
•
Under the constructions agreements, force majeure –notifications have been issued by
the contractors. New construction agreements typically include specific provisions
regarding possible delays caused by COVID-19.
Litigation
•
In general, courts are operating normally in Finland. However, some court hearings may be
postponed due to the corona crisis.
Are the courts
operating?
•
With the consent of both parties, hearings may also be held via video conference.
Property
Have any changes
been made to
the laws around
property, rent and
enforcement?
Tax
Has any new
legislation been
introduced in light of
Covid-19?
The Finnish government has introduced several measures within the tax area, especially in the field of
VAT, the purpose of which is to help the companies to retain their liquidity. These measures include, for
example:
• The VAT already paid by a company between January and March 2020 can be refunded upon the
company’s request. These refunds are treated as loans as the companies must repay the amount of
the VAT added with interest.
• The late-payment interest and penalty interest on the taxes in the scope of a payment arrangement
or extended payment terms was reduced from 7 % to 2,5 %.
• The VAT Act has been temporarily amended to the domestic sales of goods used for the prevention,
testing and treatment of covid-19 infection and these type of acquisitions from other EU member
states. The amendment applies to sales to producers of public health and medical care and social
welfare services, as well as to organisations approved by Customs. The VAT rate for the sales has
been amended to 0 %, i.e. sales are considered so-called zero-rated sales. Consequently, VAT
included in the purchases made for these sales is deductible.
In addition to the legislative level measures above, the Finnish Tax Administration has e.g. eased terms
for payment arrangements and extended filing deadlines of tax returns.
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Government measures in key jurisdictions
