Selling to Finland 2026 — VAT Rates, Rules & Compliance

This guide covers the Finland-specific rules, rates, and compliance requirements for sellers based outside the EU shipping to Finnish customers.

For the underlying EU mechanisms that apply across all member states, see:

• EU Overview — IOSS, OSS & Compliance — general obligations for non-EU sellers
• Selling to EU Consumers (B2C) — IOSS registration, the €150 threshold, charging VAT at checkout
• Selling to EU Businesses (B2B) — reverse charge mechanism and zero-VAT invoicing

VAT Rates in Finland (ALV / MOMS)

In Finland, VAT is known as ALV (arvonlisävero) in Finnish and MOMS (mervärdesskatt) in Swedish. Finland raised its standard VAT rate from 24% to 25.5% on 1 September 2024. When you sell to a Finnish consumer under the IOSS scheme, you must charge the correct ALV rate at checkout.

Standard Rate: 25.5%

Applies to the majority of goods: electronics, clothing (including children’s clothing), cosmetics, most digital services (SaaS, downloads, streaming), and physical goods not listed below.

If you configured Finnish VAT rates before September 2024, you must update your platform from 24% to 25.5%. Undercharging VAT remains your liability.

Reduced Rate: 14%

Applies to:

• Food and non-alcoholic beverages (except water)
• Animal feed
• Restaurant and catering services (food and drink component)

Reduced Rate: 10%

Applies to:

• Books (print and e-books)
• Medicines and pharmaceutical products
• Passenger transport
• Accommodation in hotels and other tourist accommodation
• Entry to cultural events (cinema, theatre, concerts, sporting events)
• Newspapers and periodicals
• Exercise services (gyms, sports facilities)
• Television and broadcasting licences

Your e-commerce platform can handle rate overrides, but you must manually assign products to the correct ALV categories.

Currency: Euro (EUR)

Finland uses the Euro and has done so since 1 January 2002. All invoices and VAT amounts for Finland are denominated in EUR.

Selling to Finnish Consumers (B2C)

No threshold for non-EU sellers

As a seller based outside the EU, there is no threshold for selling to Finnish consumers. The EU’s €10,000 threshold applies only to businesses established inside the EU. From your very first sale to a Finnish consumer, you must comply with Finnish ALV rules.

IOSS vs non-IOSS in Finland

If you sell physical goods under €150 to Finnish consumers, registering for IOSS is strongly recommended.

Without IOSS (DAP — Delivered at Place):

1. The parcel is stopped by Finnish customs (Tulli)
2. Posti (Finnish Post) or a courier contacts the customer to collect outstanding ALV
3. The hidden cost: Posti charges a customs clearance fee — typically €7–€12 per parcel
4. Finland has a highly developed e-commerce market with high consumer expectations; unexpected customs charges are a significant deterrent

IOSS eliminates carrier handling fees because VAT is cleared at the point of sale.

The €3 customs duty (from 1 July 2026)

A flat €3 customs duty per item applies to all parcels under €150 entering the EU from July 2026. Ensure shipping labels include accurate HS codes and product descriptions.

Selling to Finnish Businesses (B2B)

For sales to a VAT-registered Finnish business, the standard EU B2B rules apply.

1. Validate the ALV-numero. Finnish VAT numbers start with ‘FI’ followed by 8 digits (e.g., FI12345678). Always validate on VIES before zero-rating the invoice.
2. Reverse charge. Do not charge VAT. The Finnish business accounts for ALV on their own Finnish return.
3. Invoice statement. Your invoice must clearly state “Reverse Charge” or in Finnish: “Käännetty verovelvollisuus” (or in Swedish: “Omvänd skattskyldighet”).

Key Compliance Requirements for Finland

Invoice retention — 6 years

Finnish accounting law requires retention of accounting records and invoices for 6 years from the end of the financial year.

Invoice requirements

Finnish invoices must include your VAT number, the customer’s address, a unique sequential invoice number, the ALV rate per line item, and the date of supply. Invoices below €400 may use a simplified format.

Peppol e-invoicing for B2B

Finland is a leader in electronic invoicing adoption. Finnish public-sector organisations require invoices via the Peppol network in the Finvoice or PEPPOL BIS 3.0 format. For B2B sales to larger Finnish private-sector companies, electronic invoicing is common and increasingly expected. Smaller B2B customers will accept PDF invoices.

If you’re doing regular B2B business with Finnish companies, consider whether your invoicing system supports Peppol.

Updated rate: 25.5% (from September 2024)

Finland’s rate increase from 24% to 25.5% on 1 September 2024 was part of a broader fiscal consolidation. Ensure your checkout and accounting systems reflect 25.5% for all standard-rated Finnish sales.

Bilingual country

Finland has two official languages: Finnish and Swedish. Swedish is the native language of approximately 5% of the population, primarily on the south and west coasts. For most e-commerce purposes, English-language communications and invoices are widely accepted.

Shipping to Finland: Documentation

• Electronic customs data: ensure your carrier transmits customs data electronically to Finnish customs (Tulli).
• Accurate descriptions: use specific product descriptions with correct HS tariff codes.
• IOSS number: if using IOSS, your IOSS number must be electronically transmitted — manual notation is not sufficient.

Related Guides

• EU Overview — IOSS, OSS & VAT Rates
• Selling to EU Consumers — IOSS Guide
• Selling to EU Businesses — Reverse Charge
• EU Selling Setup Checklist

Selling from a Specific Country?

The Finland-specific rules above apply to any international seller.

• United Kingdom — Post-Brexit, GB sellers shipping to Finland face standard non-EU customs requirements.
• United States — guide coming soon
• Australia — guide coming soon