The transfer tax is a tax that a buyer of real estate, shares in a housing company or other stocks have to pay. The transfer tax for shares in a housing company is calculated from the debt-free purchase price (selling price + housing loan share).
The rate of the transfer tax depends on what you have purchased:
2 % when you buy shares in a housing company or real estate company
4 % when you buy a real estate or lot
1,6 % when you buy other company shares
The transfer tax must be declared. For shares in a housing company or real estate company, the tax needs to be paid within 2 months after signing the official sales contract. For real estate (single family homes, land etc.) the tax needs to be paid within 6 months after signing the official sales contract.
The transfer tax is a personal tax, which means that the buyer has to report and pay the tax on their own initiative.
If you buy a home through a real estate agent (e.g. via Blok), the agent takes care of the transfer tax declaration and gives the buyer instructions regarding the payment. If the purchase hasn’t been made through a real estate agent, the buyer has the responsibility to make the declaration and pay the tax himself.
A first-time apartment or house buyer does not have to pay the transfer tax, but he or she must still report the transfer tax to the tax authorities. You are a first-time buyer when you meet the following requirements:
You are 18 - 39 years of age
After the purchase, your share of ownership is 50% or more
You buy the apartment to use it as your permanent home and you move in within 6 months after signing the official sales contract
You have not been a homeowner previously with at least a 50% ownership of an apartment or a house in Finland or abroad
Read more about the transfer tax at the tax administration’s website.
The material on this site is provided for informational purposes only and is not intended to be a guide or advice. The material on this site is provided as of the date of publication and makes no representations or warranties as to the accuracy, timeliness or completeness of the material. If you have any tax related questions, please contact your local tax office.
