News Share

The Tax Hub

Daily Tax Newsletter

Finland-Denmark-Faroe Isl-Iceland-Norway-Sweden

21 November 2019

Responsive image

Protocol to Nordic Tax Treaty to Enter into Force for All Signatories

Finland, as the depository, has published Government Decree 1058/2019, which sets 28 November 2019 as the entry into force date for the amending protocol to the 1996 Nordic income and capital tax treaty for all signatories.

The protocol, signed on 29 August 2018, includes the following changes:

  • The preamble is updated in line with OECD BEPS standards;
  • Article 26 (General Taxation Rules) is amended with the insertion of a new paragraph 4, which provides that a benefit under the treaty will not be granted in respect of an item of income or capital if it is reasonable to conclude, having regard to all relevant facts and circumstances, that obtaining that benefit was one of the principal purposes of any arrangement or transaction that resulted directly or indirectly in that benefit, unless it is established that granting that benefit would be in accordance with the object and purpose of the relevant provisions of the treaty;
  • Article 28 (Mutual Agreement Procedure) is updated to provide that a MAP case may be submitted to the competent authority of any one of the Contracting States concerned (originally a resident of a Contracting State may only submit to the competent authority of that State); and
  • The final protocol to the treaty is amended with respect to the right of the Faroe Islands to repeal a provision of Article 25 (Avoidance of Double Taxation) regarding a reduction of tax by the Faroe Islands in respect of the taxation of wages under Article 15 (Dependent Personal Services) and Article 21 (Activity Connected to the Preliminary Study, Exploration or Use of Petroleum Resources).

The protocol applies from 1 January 2020.

The Contracting States to the Nordic tax treaty include Denmark, the Faroe Islands, Finland, Iceland, Norway, and Sweden.

Powerful Tax Tools


FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.


Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.


Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.


Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.


Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.



Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.


Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.


Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.


Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.


Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.


Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.


Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.


VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.


NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.


Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.


Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

Compare Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More