Land rental income as capital income
Acts amending sections 5 and 21 of the Agricultural Income Tax Act and section 32 of the Income Tax Act
Income received from renting out fields and forests will be taxed directly as capital income instead of agricultural income. Rental income from a farm's own buildings and their building sites will remain under agricultural taxation.
- Status
- Passed
- Submitted
- 20 Jun 2024
- Latest event
- 25 Oct 2024
- Votes
- 1
- Speeches
- 3
- Confirmed
- 8 Nov 2024
- Statute
- 599/2024
- Source
- eduskunta.fi ↗
What is proposed
The Agricultural Income Tax Act and the Income Tax Act will be amended so that rental income and equivalent compensation received from land areas belonging to a farm, such as fields and forests, as well as land areas and impact zones for wind power, for example, will be transferred from the agricultural source of income to be taxed directly as capital income. Rental income from a farm's own buildings, structures and their building sites will continue to be taxed under the agricultural source of income.
What it means
The acts would enter into force on 1 January 2025 and apply from the 2025 tax year. The change concerns landowners and estates of deceased persons renting out agricultural and forest land. The obligation to submit a separate agricultural tax return will be abolished for those who have no agricultural activity other than land rental. The change will increase taxes for an estimated 45,000 taxpayers not actively engaged in agriculture (especially estates of deceased persons and low-income earners) by a total of 2.5 million euros, but reduce them for high-income earners and wage earners. Central government tax revenue will increase by approximately 12 million euros and municipal tax revenue will decrease by approximately 8 million euros, which will be compensated to municipalities through central government transfers.
How Parliament voted
The act ultimately passed without a vote: no MP proposed rejecting it in the final reading. The only vote concerned a detail of the act.
Käsittelyn pohja, mietintö / Joona Räsänen
Yes won by 117–64.
The Centre voted with the government. 18 MPs were absent. Minutes ↗
Filled dot = yes, ring = no, grey = absent. Point at a dot to see the MP. Seats follow the current seating plan (updated 4 Nov 2026). 7 MPs who voted are not in the current seating plan.
A passed act does not enter into force immediately: the President of the Republic confirms it, and it enters into force on the date set in the act. This act was confirmed on 8 Nov 2024.
Debate in the chamber
What was argued and where each group stood, followed by MPs' speeches verbatim from the parliamentary record. Speeches are shown in their original language.
3 speeches · 2 speakers · 1 debate
Key points of the debate
The debate addressed transferring rental income from fields and forests to capital income. The general objective of the proposal was considered welcome, but leaving rental income from farm buildings within agricultural taxation caused disagreement. The proposed change was seen as risking complicating the tax system.
- Should rental income from farm buildings also be transferred to the personal source of income?
- Does leaving buildings in the agricultural source of income create an unjustified tax subsidy?
- Social DemocratsIn favour with reservations
The SDP supported the objective of the proposal, but demanded that rental income from farm buildings also be transferred to the personal source of income for the sake of consistency in the tax system.
”Rakennusten maatalouteen liittymättömään vuokraamiseen ei ole syytä kohdistaa muuten maatalouteen liittyvää verotuen kaltaisia, normaalia korkeampia poistoja.”
— Joona Räsänen
This digest was generated by AI from 3 speeches 13 Sep 2026. Group positions are read from the speeches, not from votes; quotations were checked verbatim against the record.
Yleiskeskustelu päättyi ja asian käsittely keskeytettiin.
Stages of consideration
The bill's path from the preliminary debate to the decision, as recorded by Parliament.
- 20 Jun 2024Eduskuntakäsittelyn vireilletulo · Valtiovarainministeriö
- 10 Sep 2024Lähetekeskustelu · Täysistunto
- 11 Oct 2024Valiokunnan mietintö tai lausunto · valtiovarainvaliokunta
- 18 Oct 2024Ensimmäinen käsittely · Täysistunto
- 22 Oct 2024Toinen käsittely · Täysistunto
- 23 Oct 2024Eduskunnan vastaus ja kirjelmä
Decisions by law proposal2
- 1Laki maatilatalouden tuloverolain 5 ja 21 §:n muuttamisestaHyväksytty · 599/2024 · 8 Nov 2024
- 2Laki tuloverolain 32 §:n muuttamisestaHyväksytty · 600/2024 · 8 Nov 2024
Proposed law text
The law proposals in the bill as the Government presented them. The final act may differ after committee consideration.
The law text is shown in Finnish or Swedish from Parliament's official documents; it is not translated into English.
1.Laki maatilatalouden tuloverolain 5 ja 21 §:n muuttamisesta
Eduskunnan päätöksen mukaisesti muutetaan maatilatalouden tuloverolain (543/1967) 5 §:n 1 momentin 9 kohta, ja lisätään 21 §:ään, sellaisena kuin se on laissa 1541/1992, uusi 2 momentti seuraavasti:
5 §
Edellä 4 §:ssä tarkoitettuja maatalouden verovuoden veronalaisia tuloja ovat muun ohessa:
9) maatilalla olevasta rakennuksesta, rakennelmasta ja niiden rakennuspaikoista saadut vuokrat ja muut sellaiset korvaukset;
21 §
Maatilasta tai sen osasta saadut vuokrat ja muut sellaiset korvaukset, 5 §:n 1 momentin 9 kohdassa tarkoitettuja tuloja lukuun ottamatta, verotetaan tuloverolaissa säädetyllä tavalla.
§
Tämä laki tulee voimaan päivänä kuuta 20 .
Lakia sovelletaan ensimmäisen kerran verovuodelta 2025 toimitettavassa verotuksessa.
2.Laki tuloverolain 32 §:n muuttamisesta
Eduskunnan päätöksen mukaisesti lisätään tuloverolain (1535/1992) 32 §:ään, sellaisena kuin se on laissa 732/2019, uusi 2 momentti seuraavasti:
32 §Pääomatulo
Pääomatuloa on myös maatilatalouden tuloverolain (543/1967) 5 §:n 1 momentin 9 kohdassa tarkoitettuja tuloja lukuun ottamatta maatilasta tai sen osasta saadut vuokrat ja muut sen kaltaiset korvaukset.
§
Tämä laki tulee voimaan päivänä kuuta 20 .
Lakia sovelletaan ensimmäisen kerran verovuodelta 2025 toimitettavassa verotuksessa.
Main content of the bill (official)
The summary and title were produced with AI on 25 Aug 2026. They are not official documents – check the details in the original bill. The title and summaries are machine translations of the Finnish AI summaries. Speeches and quotations are always shown in their original language.