PM’s meal benefit is taxable: Tax Office

The Tax Administration on Friday said that the meal benefit of the Prime Minister, Sanna Marin is taxable, said the government in a press release, referring to the decision of the tax administration.

The Premier will correct her pre-completed tax return for 2020 in line with the opinion of the Tax Administration.

The Tax Administration issued the opinion on the taxability of catering services provided at the Prime Minister’s official residence following a request from the PM office on 31 May,

Earlier, on 31 May, the Prime Minister’s Office asked the Tax Administration to comment on the interpretation of the PM’s Office, according to which the catering services provided at her official residence are not taxable under section 70, paragraph 3 of the Income Tax Act.

Based on the opinion of the Tax Administration, the PM Office will draw up new guidelines on the services provided at the residence and make changes to its practices.

The PM Office last specified the services to be provided at the official residence in practical guidelines issued in June 2019.

The guidelines clarified, among other things, the services related to residing in Kesäranta, including catering services.

Meanwhile, Marin on 1 June said that she would not take meal benefits from the government.

Talking to the commercial broadcaster MTV3 she also said that she would not take the benefit, even if the meal arrangement found to be legal as the issue raised controversary during the recent period.

Controversy raised over the issue following reports that the Prime Minister and her family took meal benefits beyond the mount stipulated for her.

The monthly benefits were thought to be about 300 euros but the reports said it was found 850 euros.

The Police on Friday started a preliminary investigation to check valid grounds to suspect officials of misconduct over the breakfast costs of the PM.

The Premier on Monday got meal benefits of 14,363 euros during her stay at her official residence and a request for clarification about tax liabilities was sent to the Tax office accordingly.