The Supreme Administrative Court has favorably made the ruling that Light Entrepreneurship services do not have to add VAT to the service fee(s)
The Supreme Administrative Court ruling applies to all invoicing services a.k.a light entrepreneurs who do not have their own business ID. The ruling came after a more than two year long appeal process, which turned out in favour for Eezy Kevytyrittäjät and the whole industry. On 20.11.2020 the Supreme Administrative Court decided that no VAT would be added to the service fee.
In 2018, VAT was added on to the service fee as instructed by the Tax Authority.
– We did not see this decision as appropriate or just (for light entrepreneurs to pay double VAT), therefore our decision was to appeal, states the managing director of Eezy Kevytyrittäjät Saija Hellsten.
The 20.11.2020 ruling by the Supreme Administrative Court is based on the prevention of charging double VAT as invoices sent by Eezy Kevytyrittäjät already have VAT considered according to the Tax Authority guidelines.
– This news is positive for not only Eezy Kevytyrittäjät, but everyone who works as a light entrepreneur, says Saija Hellsten. In practice, the service fee as a whole won’t have the VAT added on, which will surely get a positive reaction from all light entrepreneurs. At Eezy, we’ll be making the appropriate changes to our online system as soon as possible so that Eezy light entrepreneurs will gain the benefit from this change. We’ll be informing our users of timetables and details later on in the week, says Saija Hellsten.
Light entrepreneurship has gained popularity in recent years. The approximately 150 000 light entrepreneurs who use invoicing services do not have their own business ID, even though they operate in the same way as sole traders/self-employed people.
– We built this new way of working as a self-employed person without having to establish a company in Finland back in 2008. As pioneers we want to take responsibility in fighting for the rights of light entrepreneurs. With being a fairly new industry, being treated unfairly isn’t justifiable and we’re constantly driving and working towards creating positive changes. This was one win for all light entrepreneurs, states Saija Hellsten.
For more information contact:
Saija Hellsten, managing director, Eezy Kevytyrittäjät
Tel: 040 5515189, saija.hellsten@eezy.fi
Otto Michelsen, Lawyer, Eezy Kevytyrittäjät
Tel. 050 4912292, otto.michelsen@eezy.fi