Prevention of Tax Treaty Abuse – Third Peer Review Report on Treaty Shopping

Finland

A. Progress in the implementation of the minimum standard

Finland has 73 tax agreements in force, as reported in its response to the Peer Review questionnaire, including the multilateral Nordic Convention concluded with Denmark, the Faroe Islands, Iceland, Norway and Sweden (“Nordic Convention”).1 Twenty-five of those agreements, the agreements with Australia, Austria, Belgium, Canada, France, Georgia, Hong Kong (China), India, Ireland, Israel, Japan, Lithuania, Luxembourg, Malta, Netherlands, New Zealand, Poland, Serbia, Singapore, the Slovak Republic, Slovenia, Ukraine, the United Arab Emirates and the United Kingdom as well as the Nordic Convention, comply with the minimum standard.

Finland signed the MLI in 2017 and deposited its instrument of acceptance on 25 February 2019. The MLI entered into force for Finland on 1 June 2019. Finland has not listed its agreements with Bulgaria and Germany but indicated in its response to the Peer Review questionnaire that bilateral negotiations would be pursued with respect to those agreements and that a complying instrument was signed with Germany in November 2019.

The Parties to the Nordic Convention signed a complying instrument in 2018. The protocol entered into force on 28 November 2019 and its provisions took effect 1 January 2020.

Finland is implementing the minimum standard through the inclusion of the preamble statement and the PPT.2

The agreements that will be modified by the MLI will come into compliance with the minimum standard once the provisions of the MLI take effect.

B. Implementation issues

No jurisdiction has raised any concerns about their agreements with Finland.

Summary of the jurisdiction response - Finland

 

	Treaty partners	Compliance with the standard	If compliant, the alternative implemented	Signature of a complying instrument	The alternative implemented through the complying instrument (if not the MLI)	Comments
1	Argentina	No	N/A	Yes	N/A
2	Armenia	No	N/A	Yes	N/A
3	Australia	Yes	PPT alone	N/A	N/A
4	Austria	Yes	PPT alone	N/A	N/A
5	Azerbaijan*	No	N/A	Yes	N/A
6	Barbados	No	N/A	Yes	N/A
7	Belarus*	No	N/A	Yes	N/A
8	Belgium	Yes	PPT alone	N/A	N/A
9	Bosnia-Herzegovina	No	N/A	Yes	N/A
10	Brazil	No	N/A	Yes	N/A
11	Bulgaria	No	N/A	No	N/A
12	Canada	Yes	PPT alone	N/A	N/A
13	China (People's Republic of)	No	N/A	Yes	N/A
14	Croatia	No	N/A	Yes	N/A
15	Cyprus*	No	N/A	Yes	N/A
16	Czech Republic	No	N/A	Yes	N/A
17	Denmark	Yes	PPT alone	N/A	N/A	Nordic Convention
18	Egypt	No	N/A	Yes	N/A
19	Estonia	No	N/A	Yes	N/A
20	Faroe Islands	Yes	PPT alone	N/A	N/A	Nordic Convention
21	France	Yes	PPT alone	N/A	N/A
22	Georgia	Yes	PPT alone	N/A	N/A
23	Germany	No	N/A	Yes	PPT alone
24	Greece	No	N/A	Yes	N/A
25	Hong Kong (China)	Yes	PPT alone	N/A	N/A
26	Hungary	No	N/A	Yes	N/A
27	Iceland	Yes	PPT alone	N/A	N/A	Nordic Convention
28	India	Yes	PPT alone	N/A	N/A
29	Indonesia	No	N/A	Yes	N/A
30	Ireland	Yes	PPT alone	N/A	N/A
31	Israel	Yes	PPT alone	N/A	N/A
32	Italy	No	N/A	Yes	N/A
33	Japan	Yes	PPT alone	N/A	N/A
34	Kazakhstan	No	N/A	Yes	N/A
35	Korea	No	N/A	Yes	N/A
36	Kosovo*	No	N/A	Yes	N/A
37	Kyrgyzstan*	No	N/A	Yes	N/A
38	Latvia	No	N/A	Yes	N/A
39	Lithuania	Yes	PPT alone	N/A	N/A
40	Luxembourg	Yes	PPT alone	N/A	N/A
41	Malaysia	No	N/A	Yes	N/A
42	Malta	Yes	PPT alone	N/A	N/A
43	Mexico	No	N/A	Yes	N/A
44	Moldova*	No	N/A	Yes	N/A
45	Montenegro	No	N/A	Yes	N/A
46	Morocco	No	N/A	Yes	N/A
47	Netherlands	Yes	PPT alone	N/A	N/A
48	New Zealand	Yes	PPT alone	N/A	N/A
49	North Macedonia	No	N/A	Yes	N/A
50	Norway	Yes	PPT alone	N/A	N/A	Nordic Convention
51	Pakistan	No	N/A	Yes	N/A
52	Philippines*	No	N/A	Yes	N/A
53	Poland	Yes	PPT alone	N/A	N/A
54	Romania	No	N/A	Yes	N/A
55	Russia	No	N/A	Yes	N/A
56	Serbia	Yes	PPT alone	N/A	N/A
57	Singapore	Yes	PPT alone	N/A	N/A
58	Slovak Republic	Yes	PPT alone	N/A	N/A
59	Slovenia	Yes	PPT alone	N/A	N/A
60	South Africa	No	N/A	Yes	N/A
61	Spain	No	N/A	Yes	N/A
62	Sri Lanka	No	N/A	Yes	N/A
63	Sweden	Yes	PPT alone	N/A	N/A	Nordic Convention
64	Switzerland	No	N/A	Yes	N/A	The treaty partner has not listed this agreement in its MLI position.
65	Tajikistan*	No	N/A	Yes	N/A
66	Tanzania*	No	N/A	Yes	N/A
67	Thailand	No	N/A	Yes	N/A
68	Turkey	No	N/A	Yes	N/A
69	Turkmenistan*	No	N/A	Yes	N/A
70	Ukraine	Yes	PPT alone	N/A	N/A
71	United Arab Emirates	Yes	PPT alone	N/A	N/A
72	United Kingdom	Yes	PPT alone	N/A	N/A
73	United States	No	N/A	Yes	N/A
74	Uruguay	No	N/A	Yes	N/A
75	Uzbekistan*	No	N/A	Yes	N/A
76	Viet Nam	No	N/A	Yes	N/A
77	Zambia	No	N/A	Yes	N/A