Finland - New legislation imposes obligation to obtain “tax numbers” on employees working on construction sites

Global Watch ()

Everyone working on a construction site in Finland must carry a name tag with an individual tax number printed on it.

A tax number is a unique identification number given by the Finnish tax authorities starting from 2012 to all individual tax payers in Finland. However, it is currently only used to monitor taxpayers working on construction sites (without needing to use the Finnish ID for this) in attempt to reduce the number of foreign and domestic employees working either illegally and/or without paying taxes for income received for work done on construction sites. It is also a way to get all foreign employees working in the field of construction to register with the tax authorities.

The obligation to carry a tag with a tax number will come into force as follows:

  • New construction sites - September 1, 2012
  • Old construction sites (opened before September 1, 2012) - March 1, 2013.

Tax numbers have already been issued to anyone who has registered as a taxpayer and received a Finnish tax card (a document showing the percentage of tax withholding) for 2012.