This year’s pre-filled tax returns have now become available to the Tax Administration and the deadline for corrections is May.
Taxpayers should always check the information on the pre-filled tax return and add any missing income or deductions. Kaija Selkäinaho From the tax administration.
Especially those who worked remotely during the pandemic want to check work-related tax deductions, such as monthly transit costs or home office expenses, Selkäinaho added.
Home office deduction
In general, the home office deduction calculation is formula-based and covers office space rent, furniture, lighting, electricity, heat, and cleaning. If you apply for a formula-based home office deduction, you cannot apply separately for deductions for office furniture or other equipment because they are already included in the price.
The deductibles depend on the duration of the telework.
Last year, those who worked remotely more than 50 percent of their time will receive a tax deduction of 920 euros. However, if the amount of telework was less than 50 percent or the employees used the home office to generate extraordinary secondary income, the reduction is smaller.
Hybrid workers may be left without
Kati Malinen The Association of Taxpayers (TAF) said hybrid workers should carefully check whether they are eligible for the deductions mentioned on the pre-filled tax return, especially if the number of telework days varies.
“For example, if a full home office deduction of € 920 is listed on the pre-filled tax return, but in telework up to 50 percent of the time, you are only entitled to a smaller deduction of € 420,” Malinen said.
In addition, Finnish employees automatically receive a deduction of EUR 750 in their pre-filled tax returns to cover work-related expenses, such as transport and home office equipment.
If you have paid income, you will only receive the benefit if you have other deductions for work-related expenses in excess of that, Malinen added.
The tax credit for household expenses is increasing
In a two-year experiment, the amount of tax credit claimed for household expenses will increase in 2022 and 2023.
In 2022, the credit available for household expenditure will be a maximum of EUR 4,500 for renovation costs and a maximum of EUR 7,500 for household chores, including care and maintenance work and the replacement of oil heating.
If you apply for a household deduction for the replacement of oil heating systems or household, care and maintenance work carried out during 2022, the increased deduction will automatically appear on your tax card, says Selkäinaho from the Tax Administration.
Source: The Nordic Page