Add organization

    Is Åland part of the EU VAT area?

    The special tax status of the Åland Islands.

    Answered at: Checked at:

    Short answer

    No. The Finnish Tax Administration explains that Åland is not part of the EU VAT or excise area, although it belongs to the EU customs union and customs territory. For VAT purposes Åland is treated as a territory outside the EU, so a tax border separates it from mainland Finland and other EU countries. The arrangement is based on the Åland protocol in Finland's EU accession treaty. Åland uses the euro like the rest of Finland.

    Practical: communication, money, services

    Why

    1. The Tax Administration says Åland is outside the EU VAT and excise area.
    2. Åland belongs to the EU customs union, according to the Finnish Government.
    3. The status is based on Finland's EU accession treaty.

    Details

    Because of the tax border, sales of goods between Åland and the rest of Finland are treated as exports and imports for VAT.

    Tip

    If you send goods to or from Åland, check whether customs formalities apply.

    What may differ

    Rules on traveller allowances between Åland and the mainland are set by Customs.

    Common misconception

    Åland has its own currency.

    What actually happens

    Åland uses the euro. Its special status concerns VAT and excise duties.

    People also ask

    • What currency does Finland use?
    • Do shop prices include VAT in Finland?
    • Can you get a tax-free refund in Finland?

    Sources

    This answer is for reference only. Payment rules and fees change, so check the official sources or your bank before you pay.

    Practical: communication, money, services
    Help