Change Hits Tax Returns
Finnish taxpayers will soon see changes in how rental income from fields and forests is reported in tax returns.
Starting this year, Finnish taxpayers will need to report rental income from agricultural land and forests on pre-filled tax returns, marking a shift from the previous practice where such income was included in agricultural tax returns. According to Pรคivi Ylitalo, a senior inspector from the Finnish Tax Administration, the separate reporting is essential as it aligns with other rental income categories. This change aims to streamline the reporting process and ensure clarity for taxpayers regarding their income sources.
Additionally, Ylitalo pointed out that those involved in agriculture and forestry will no longer receive paper guidance letters for submitting their tax declarations, which means they must now proactively file their tax returns by the deadlines without prompt. This alteration in the tax filing procedure emphasizes the responsibility of taxpayers to keep track of their reporting requirements, highlighting the importance of staying informed about changes in tax law.
Moreover, while the Tax Administration will obtain information regarding salaries, pensions, and benefits directly from payment providers, individuals still have the opportunity to claim deductions, such as household and travel expense deductions. It is crucial that taxpayers remain vigilant about these deductions when submitting their returns, as they can help reduce overall tax liability. The announcement also includes notes about potential changes, like the workroom deduction for 2025, which was discontinued at the beginning of this year.