DAC8 Reporting in Finland: Practical Guide

Finland has a highly digitised tax administration and a tech-savvy population with notable engagement in the crypto-asset market. The Finnish Tax Administration (Verohallinto) is expected to implement DAC8 reporting requirements efficiently, leveraging its advanced electronic filing infrastructure. This guide covers the practical aspects of DAC8 compliance for entities operating in Finland.

National Authority

The Verohallinto (Finnish Tax Administration) is the competent authority for tax matters in Finland, including international exchange of information under CRS, FATCA, and other frameworks. Verohallinto is expected to be responsible for receiving and processing DAC8 reports. The Ministry of Finance (Valtiovarainministerio) oversees tax policy and the legislative transposition of EU tax directives.

Submission Requirements

Finland's tax administration is known for its modern digital services, and DAC8 submissions are expected to be handled through electronic channels.

• Format: Reports should follow the OECD CARF XML schema as required by the DAC8 directive. Verohallinto may publish additional technical specifications and validation requirements.
• Language: Official tax administration in Finland is conducted in Finnish and Swedish (both official languages). The standardised XML data fields should follow international formats. Verohallinto may provide guidance in both official languages. The specific language requirements for DAC8 submissions should be confirmed with the tax authority.
• Submission channel: Verohallinto may integrate DAC8 reporting into its existing Ilmoitin.fi service (used for electronic filing) or its tax reporting API. The exact submission method is to be confirmed by the authority.
• Business ID: Reporting entities operating in Finland will need a Finnish Business ID (Y-tunnus) for tax registrations and filings.

Transposition Status

Finland must transpose the DAC8 directive into national law by December 31, 2025. The transposition is typically achieved through a government bill (hallituksen esitys) presented to the Eduskunta (Finnish Parliament). Finland generally has a good track record for transposing EU directives. The implementing legislation may amend existing laws on international tax information exchange or introduce new provisions.

Local Variations

Finland may introduce specific national elements:

• Existing crypto tax guidance: Verohallinto has published detailed guidance on the taxation of virtual currencies, treating them as other assets subject to capital gains tax. DAC8 data may be used to verify compliance with these rules.
• Comprehensive third-party reporting: Finland has a well-established system of third-party income reporting. DAC8 fits naturally within this framework.
• Pre-completed tax returns: Finland uses pre-completed tax returns, and DAC8 data could potentially be incorporated to help taxpayers accurately declare crypto-asset income.
• FIN-FSA coordination: The Financial Supervisory Authority (Finanssivalvonta, FIN-FSA) oversees financial service providers. DAC8 reporting may be coordinated with MiCA regulatory requirements.

Key Dates

• Transposition deadline: December 31, 2025 (directive must be incorporated into Finnish law)
• Data collection begins: January 1, 2026 (reporting entities should start collecting reportable data)
• First reporting period: Calendar year 2026
• First reports due: 2027 (exact date to be confirmed by Verohallinto)

Practical Tips

• Monitor Verohallinto publications: The Finnish Tax Administration regularly publishes guidance on its website (vero.fi). Watch for DAC8-specific instructions and technical documentation.
• Test electronic submissions: When Verohallinto makes test environments available, use them to validate your reporting files before the official deadline.
• Ensure henkilotunnus collection: Finland uses personal identity codes (henkilotunnus) for individual identification. Ensure your systems can collect and validate these for Finnish reportable persons.
• Leverage existing reporting processes: If you already file third-party reports with Verohallinto, build on that infrastructure for DAC8 compliance.
• Coordinate with FIN-FSA obligations: Ensure your DAC8 preparations align with regulatory requirements under MiCA as administered by Finanssivalvonta.
• Plan for bilingual requirements: Given Finland's two official languages, be prepared for guidance and requirements in both Finnish and Swedish.

Important Notice

This guide provides general information about DAC8 reporting in Finland. Requirements may change as the directive is transposed into national law. The information presented here should not be treated as definitive legal or tax advice. Always consult Verohallinto and the Ministry of Finance for the latest official requirements. For specific compliance questions, seek advice from qualified Finnish tax professionals.