The Finnish Tax Administration has announced a new policy which will allow workers to deduct the cost of face masks used at work and on journeys between work and home from their taxable income.
Previously, the administration’s condition for masks being tax deductible was mandatory usage, instead of the recommendation issued by the Finnish Institute for Health and Welfare (THL), supported by the government, to use masks in confined spaces where social distancing is not possible.
The tax office said it now viewed that recommendation as an acceptable condition for deductions.
The updated policy states that if a worker uses public transport between home and work, and wears a face mask during the commute, the cost would be tax deductible as part of commuting costs.
Another condition to be eligible for such deductions is that the taxpayer's employer has not provided masks that could also be used on the commute, and that the employee incurs the costs of acquiring the masks themselves.
The reduction is granted if these conditions are met, regardless of whether THL’s recommendation applies to the area of the hospital district in which the journey was made.
The Tax Administration announced the new policy in a press release on Wednesday, and also set out the amount that can be deducted from taxable income.
"The amount of the deduction is two euros for each day on which the employee has travelled between their home and their place of work," the announcement stated.
No significant impact on state income
For workers using masks on the job, the cost of the protective devices can be deducted as an income-generating expense, provided that the employee has paid for the masks.
According to Tero Määttä, a leading tax expert at the tax office's Personal Taxation Guidance and Development department, the policy will not have a significant impact on state coffers.
"At least this year, it is unlikely to have much effect on the state’s tax income. In view of the sharp increase in telecommuting by workers, they have correspondingly less deductible travel costs between home and work than would normally be the case," Määttä said, adding that the government’s recommendation to continue telecommuting where possible will minimise the effect.
"Telecommuting is likely to continue in the near future too, so this policy is unlikely to play a major role in income taxation in the future either," he added.