Working group instituted by Finnish Tax Administration proposes introduction of fiscal online point-of-sale systems in Finland – PAM would also press criminalisation of underpayment
A working group under the Tax Administration proposes the introduction of online point-of-sale systems in Finland. Service Union United PAM hopes that the proposal made by the group would progress rapidly. In addition to the introduction of online point-of-sale systems, legislative amendments would constitute another efficient way to fight the shadow economy. It is important that the concept of ‘pay-related offence’ is included in the legislation.
The surveys performed under the umbrella of the Government programme to fight the shadow economy and financial crime show that the introduction of the tax-connected online point-of-sale system would help to prevent the shadow economy in consumer sales. They would also promote the development of digital payments and decrease the tax deficit caused by hidden income.
According to the project report published today, the reform would ensure that the Tax Administration receives the information on sales transactions immediately when the sales take place.
PAM agrees with the outcome of the project report and hopes that Government will take rapid action to implement the improvements proposed by the working group.
"New online point-of-sale systems will promote healthy competition. They would give the Tax Administration easy and smooth access to the necessary information while avoiding non-declared sales which is one of the common modes of operation in the shadow economy. This would have a boosting effect on the economy, at the same time improving the employees’ situation”, Sirpa Leppäkangas, PAM’s expert for working hour and pay systems adds.
PAM finds that another core factor in the fight against the shadow economy is the prevention of underpay. Looking at the modes of operation of unfairly operating companies, compliance with the provisions of the Collective Agreements is, however, not always self-evident.
“Underpay must be criminalised and the concept of ‘pay-related offence’ introduced in the legislation. Together with the legislative amendments, the novel, well-functioning online point-of-sale systems constitute an efficient way to prevent misconducts and the exploitation of people in employment", she adds.
Please click here to read more about the Tax Administration project report and the working group’s impact analysis of the online point-of-sale systems.