Finland: Corporate Tax

Finland has gained a place among the richest industrial countries in the world. Today, worldwide trading in a wide variety of commodities is an integral part of the culture within the Finnish business community. In addition to being a world leader in forest based industries, Finland has an advanced metal industry and pioneering electronics and technology industry.

The past year has been an active year in the Finnish M&A market, which has seen, among others, several transactions in regard to Finnish listed companies (Pohjola, Saunalahti, Alma Media to mention a few), larger reorganisations in the daily goods retail field (SOK-Spar and Tradeka-Wihuri combinations) and also some increased private investor activity in regard to Finnish industry companies (Finndomo, Karelia).

The Supreme Administrative Court gave on 22 October 2004 a decision, KHO:2004:93, regarding the share swap situation. According to this decision the fees paid to advisers could not be deducted as annual cost in taxation, even though this had been done in accounting.