AMWatch

Finland to clarify tax rules on private equity investments

Finland’s Finance Ministry is seeking to clarify rules that may result in some foreign venture capital investors being taxed twice.

Photo: Colourbox

In a statement Monday, the ministry proposed extending existing regulations to investments made via fund-of-funds structures, so that they will be taxed in a similar way to investments made directly into a Finnish company. The current rules are unclear and legal precedents have led to more stringent practices than originally intended by the legislation.

Stakeholders are invited to submit statements on the matter by Nov. 26.

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