Income tax in Finland 2026

Earned income pays a state scale from 12.64% to 37.5% (above €52,100), plus your municipality's flat rate — 5.3% in Helsinki, up to 10.9% elsewhere — and 1%–2% church tax for members.

Credits do the levelling: the €3,430 earned income credit and €4,265 basic allowance keep low earners at minimal rates, while pensioners face a 5.85% surtax above €60,000 of pension income.

Capital income never touches this scale — it has its own 30%/34% ladder.

At a glance

top rate: ≈ 55% marginal all-in (37.5% state + municipal + contributions)
entry band: 12.64% state from the first euro, offset by credits
tax year basis: Calendar year
filing deadline: Pre-completed return; correction deadlines 14/21/28 April
residency basis: Residents taxed on worldwide income
regime flag: Key employees: 25% flat for 84 months

Rates

State income tax on earned income (2026)

Band (EUR)	Rate on this band	Note
0 – 22,000	12.64%	Credits erase most of this at low incomes
22,000 – 32,600	19%
32,600 – 40,100	30.25%
40,100 – 52,100	33.25%
Over 52,100	37.5%	Municipal (4.7%–10.9%) and church (1%–2%) taxes add on top

Marginal rates apply within each band.

Thresholds & allowances

Earned income credit18% of net earned income, max €3,430 (+€105 per child, doubled for single parents)
Phases down 2% above €35,000; +€1,200 for workers 65+
Basic allowance€4,265 for low incomes
Tapers away as income rises
Employment deduction€750 automatic
Commuting costs deductible between €900 and €7,000
Household deduction13% of service costs (35% to registered entrepreneurs), max €1,600
Cleaning, care, renovations; oil-heating replacement at higher temporary rates to 2027
Entrepreneur deduction5% of business income
Plus the 20%-of-net-assets capital-income split (electable to 0%)

Surcharges

Pension surtax5.85%over Pension income above €60,000 (after the pension allowance)
Public broadcasting tax2.5%, max €160over Income above €15,150 (Åland residents pay a separate media fee)

Residency

Residency trigger

A main home in Finland or over 6 months' continuous presence makes you resident. Finnish nationals stay resident for 3 years after leaving unless they show all essential ties were cut.

Non-resident treatment

Non-residents pay a 35% final withholding on Finnish salaries (after a €510/month allowance) or can opt for progressive assessment; dividends carry 30% withholding with an assessment option for European Economic Area (EEA) residents.

Notes

Municipal rates run 4.7%–10.9% (Helsinki 5.3% in 2026) — since the 2023 welfare reform the state took much of the old municipal share.
Church tax (1%–2%) applies only to Evangelical-Lutheran and Orthodox members.
Income averaging over multiple years is available for lumpy earned income of at least €2,500.
The 6-month rule exempts foreign salaries of residents working abroad continuously (Finnish public-sector pay excepted).
The self-employed split business income: 20% of net assets is capital income (electable to 0%), the rest earned income, plus the 5% entrepreneur deduction.
Employer-paid moving costs are fully tax-free from 2025; legal fees paid by employers became exempt in 2026 under conditions.

FAQ

What is the top income tax rate in Finland?

About 55% marginal all-in: 37.5% state tax above €52,100, plus municipal tax (4.7%–10.9%), church tax for members, and roughly 10% of employee contributions.

How does Finland's key employee regime work?

Foreign specialists, researchers and teachers earning at least €5,800 a month pay a flat 25% (from 2026) on Finnish salary for up to 84 months — apply within 90 days of starting. Returning Finnish nationals can now use it for 60 months.

When is the Finnish tax return due?

You receive a pre-completed return in spring; corrections are due on your stated date in mid-to-late April (14, 21 or 28 April for 2025 income). No changes needed means nothing to file.

Figures: tax year 2026, compiled from public sources. Not tax advice.

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