Finland to introduce tourist tax with draft law preparation underway

The Finnish government has decided to begin preparing legislation for a tourist tax, which could take effect as early as 2027, the Ministry of Finance announced on Monday.

Several EU countries already impose such levies, typically charged on short-term accommodation to fund infrastructure, services, waste management, and public transport. The Finnish model would allow municipalities—particularly those popular with visitors—to generate additional revenue from tourism.

Finance Minister Riikka Purra (Finns Party) stated the goal is a “simple and clear tax model,” with local councils deciding whether to adopt it. If approved next year, municipalities could include the tax in their 2028 budgets and implement it the same year.

Stakeholder consultations began late last year, and a preliminary report has been drafted. Further discussions with local and industry groups will continue in 2024.

The proposal has faced opposition from the tourism sector, with industry representatives arguing that no new taxes are needed.