Invoicing in Finland
Businesses that are registered for VAT must provide VAT invoices to their VAT-registered customers for all taxable supplies, including zero-rated sales (but not exempt sales without input credit), as per Article 209a of the VAT Act. The VAT invoice serves as a supporting document for claiming input VAT credit.
Learn more about invoice requirements in Finland in our comprehensive guide.
Invoicing in Finland
If a VAT-registered customer requests a VAT invoice, and the supplier fails to provide one, they may be subject to a fine imposed by the Tax Administration. Therefore, it is important for VAT-registered businesses in Finland to ensure that they issue VAT invoices to their customers to avoid any potential penalties.
In order to claim an input VAT credit, a VAT invoice must be provided as evidence. As per Article 209a of the VAT Act, companies that are registered for VAT in Finland are obligated to furnish VAT invoices to their VAT-registered customers for all taxable supplies, which includes zero-rated sales and exempt sales without input credit. Failure to do so when requested by a VAT-registered customer and the Tax Administration may result in a penalty.
In contrast, there are some situations in which a supplier should not issue a VAT invoice, such as:
- Suppliers who are not VAT registered.
- Specific billing schemes.
- Pro-forma invoices for goods that have not yet been delivered but require an invoice for a non-VAT reason.
If a business in Finland sells goods or services to a company outside of Finland that’s part of the EU, the invoice for such an intra-Community sale must be issued by the 15th day of the month following the supply. However, for other types of sales, there’s no specific time limit for issuing invoices. Nevertheless, it’s essential to include the date of provision or prepayment on the invoice to assign the VAT to the correct period.
If an exact date is unavailable, the invoice should specify a timeline corresponding to when the delivery was completed. In the case of continuous supplies, the invoice should include the supply period.
Selling in Finland?
Full VAT invoice
Here is the underlying information an invoice must contain:
Full VAT invoice
- Date of issue
- Unique sequential number identifying the invoice
- Customer’s VAT identification number (if the customer is liable for the tax on the transaction)
- Supplier’s full name & address
- Customer’s full name & address
- Description of quantity & type of goods supplied or type & extent of services rendered
- Date of transaction or payment (if different from invoice date)
- The VAT rate applied
- VAT amount payable
- Breakdown of VAT amount payable by VAT rate or exemption
- The unit price of goods or services – exclusive of tax, discounts, or rebates (unless included in the unit price)
Simplified Invoice
- Date of issue
- Supplier’s VAT identification number
- Type of goods or services supplied
- The amount of VAT that must be paid – or the information required to calculate it
- Specific and unambiguous reference to the original invoice as well as the information that are being changed (on a credit note, debit note, or another document treated as an invoice
A simplified VAT invoice is permitted for retailers making 400 euros or fewer sales in retail trade and sales from automated machines.
Last Updated: 14/12/2023
Disclaimer
The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax
