Finnish, Estonian tax administrations start sharing data in real-time

The real-time data exchange is expected to assist in the investigation of cross-border tax violations, save resources in both countries and improve the quality, efficiency and range of services, a press release of the Finnish Tax Administration published Friday reads. [Shutterstock/Odua Images]

Finland and Estonia have started to share tax data online in real-time, making it the first automatic information exchange between national tax administrations, replacing the previous method of exchanging information through manually processed requests.

The real-time data exchange is expected to assist in the investigation of cross-border tax violations, save resources in both countries and improve the quality, efficiency and range of services, a press release of the Finnish Tax Administration published on Friday (18 June) reads.

As an example, an Estonian citizen working in Finland would not have to turn to the Estonian Tax and Customs Board to apply for a certificate about Estonian wages for the Finnish Tax Administration.

Later this year, VAT information, as well as labour and social tax information, will be included in the data exchanged via X-Road.

“Currently, inquiries between Estonia and Finland make up about a third of all inquiries from both countries. Real-time data exchange makes the work of both Estonian and Finnish tax administrations significantly easier and faster,” Rivo Reitmann, the Deputy Director-General of the Estonian Tax and Customs Board, has said. (Pekka Vänttinen | EURACTIV.com)

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