PwC's summary of recent developments in France, India, and Turkey.
Tax updates for Argentina, Finland, France, Germany, Ireland, Latvia, Netherlands, Philippines, and Romania. Filing updates for Australia, Hong Kong, Ireland, Japan, Luxembourg, Portugal, and the UK.
According to the Finnish Income Tax Act, benefits from employee stock option plans are taxable as employment income. The concept of an employee stock option is very wide and basically covers all share based arrangements that are received as a result of an employment relationship.
As part of an economic stimulus package, the Finnish government announced that the social security obligations paid by Finnish employers on employee income will be reduced in 2009 and eliminated in 2010.
In a recent ruling, the Finnish Supreme Administrative Court approved the deduction of compensation paid by a Finnish subsidiary to its US parent on the basis of the US parent’s computational expenses incurred in granting its own shares to the employees of the Finnish subsidiary.