Ministry under fire over unsubstantiated tax cut payback claim

Ministry under fire over unsubstantiated tax cut payback claim

A central claim by Finland’s Ministry of Finance that corporate tax cuts will largely pay for themselves lacks any supporting calculation, according to documents and expert assessments now made public. The ministry’s internal memo, released on 30 April, stated that the government’s planned €2 billion in tax cuts, including lowering corporate income tax from 20% to 18%, would be 60% self-financing due to growth-stimulating “dynamic effects”.