Many international companies operate in Finland without local staff or physical presence. When Finnish operations are reduced, paused, or closed, VAT and tax registrations must be formally deregistered with the Finnish Tax Administration. Simply stopping invoicing or activity is not enough.
This guide explains VAT deregistration in Finland in 2026 from the perspective of non-resident and internationally owned companies, including when deregistration is required, how it is filed, and why professional support is often necessary.
When international companies need VAT deregistration in Finland
Foreign-owned companies commonly require VAT deregistration in Finland when:
Finnish business activity ends or is put on hold
A local contract, project, or customer relationship finishes
The company no longer has VAT-liable sales in Finland
VAT registration was originally voluntary and is no longer needed
The company is being liquidated or restructured
Even if your company continues operating in other countries, Finnish VAT registration must be actively closed once VAT-liable activities in Finland end.
Two VAT deregistration paths in Finland (What applies to you)
Full termination of Finnish operations
If your company ceases all activities in Finland, deregistration must be filed via the Business Information System (YTJ). The notification removes the company from:
the VAT register
the prepayment register
the employer register
This is the correct route for most international companies that are fully exiting the Finnish market.
Ending VAT-liable activities only
If your company continues to exist but no longer has VAT-liable sales in Finland, VAT deregistration is requested in MyTax.
This option is often used by international companies that:
remain active elsewhere
no longer invoice Finnish customers
no longer exceed VAT thresholds
registered for VAT voluntarily
The Tax Administration will issue a written decision confirming VAT deregistration.
Timing and end dates: Why remote companies make mistakes
For non-resident companies, choosing the wrong VAT end date is the most common error.
VAT liability usually ends on the last day of a calendar month. Selecting the correct date avoids unnecessary VAT returns.
Example:
If VAT-liable activities end in June, entering 31 May avoids an extra VAT return.
Entering 1 June creates an obligation to file for June.
For companies that registered for VAT voluntarily, deregistration takes effect from the date the request is received, not retroactively.
Professional review before submission is strongly recommended for remote companies that do not file VAT themselves.
Final VAT returns after deregistration in Finland
All companies must file a final VAT return, even if there was no activity.
Deadlines depend on your VAT period:
Monthly or quarterly filers: VAT return and payment by the 12th day of the second month following the last period
Annual filers: VAT return and payment by the 12th day of the second month following the termination month
Missing the final VAT return keeps the company liable and can trigger penalties.
VAT on remaining assets and inventory in Finland
International companies often overlook VAT on remaining Finnish assets.
If inventory or business assets remain when VAT registration ends, VAT must be calculated as own use VAT. The taxable base is the lower of purchase price or fair market value at deregistration.
This applies even if:
assets are moved abroad
assets are retained by the company
assets are no longer actively used
The VAT must be declared in the final VAT return.
Special situations relevant to international companies
Bankruptcy or forced closure of Finnish company
If a Finnish company or branch enters bankruptcy, VAT liability may either:
continue until assets are sold, or
end on the bankruptcy declaration date
The bankruptcy estate may continue VAT registration independently. VAT reporting obligations remain until formally closed.
Real estate or VAT group registrations
VAT deregistration may be delayed if VAT liability is linked to:
transfer of use of real estate
VAT taxpayer group membership
These cases require individual review and coordinated filings.
Why international companies use professional VAT deregistration support in Finland
For international founders, VAT deregistration in Finland is rarely just a form submission.
Common challenges include:
language and system barriers in MyTax and YTJ
incomplete accounting or missing VAT periods
uncertainty around asset VAT adjustments
incorrect deregistration dates creating new liabilities
coordination between Finnish and foreign accounting records
Professional handling reduces risk and speeds up deregistration.
VAT and tax deregistration services in Finland by 1Office
1Office supports international and non-resident companies with VAT and tax deregistration in Finland, including companies operating fully remotely.
Our service includes:
review of Finnish VAT position and deregistration eligibility
final VAT return preparation and submission
inventory and asset VAT calculations
submission of VAT deregistration in MyTax or termination via YTJ
removal from VAT, prepayment, and employer registers
Before deregistration, accounting must be complete. If needed, 1Office prepares missing reports and reconciles VAT filings to ensure a clean exit.
If your company no longer needs Finnish VAT registration, contact 1Office before submitting any deregistration request. Early review prevents delays and unexpected VAT liabilities.
VAT deregistration in Finland FAQ (International companies)
Can a foreign company deregister from VAT in Finland remotely?
Yes. VAT deregistration can be handled remotely through MyTax or YTJ, but filings must be accurate and supported by complete accounting.
What happens if we stop invoicing but do not deregister?
The company remains VAT-liable and must continue filing VAT returns. Penalties may apply.
Is VAT deregistration automatic when business ends?
No. Deregistration must be formally requested.
Do we need a Finnish accountant to deregister VAT?
It is not legally required, but professional support is strongly recommended for non-resident companies.
Can 1Office handle VAT deregistration end-to-end?
Yes. 1Office manages the full process for international clients, including final VAT filings and register removals.
