HELSINKI: The Finnish Tax Administration has reminded employers that all wages must be reported directly to a national incomes register as of January, 2019.
The incomes register, an electronic database of incomes information, will be adopted in an attempt to reduce the administrative burden of employers by rationalising wage-related reporting procedures. Wages will have to be reported to the database no later than five days after they have been disbursed to employees.
The biggest beneficiary of the change will be Digia, a Helsinki-based software developer that has been selected as the supplier of the incomes register.
The fixed-price software development project is worth an estimated 14 million euros. The maintenance and further development costs incurred over the 15-year contract period, in turn, are expected to rise to 90 million euros.
The incomes register will replace the annual payroll information returns currently submitted to earnings-related pension funds, occupational accident insurance firms, the Unemployment Insurance Fund and the Finnish Tax Administration.
