Vehicles on the Åland Islands
The Åland Islands are not part of the fiscal territory of the EU, that is, Åland is a special fiscal territory of the EU. Because of this, all cars and other vehicles to be registered in Åland must be declared to Customs.
I’m buying a used vehicle and bringing it to Åland
I’m buying a used vehicle from Finland or another EU country and the vehicle is registered in Finland or the other EU country
When you’re buying a used vehicle from mainland Finland or another EU country, such as Sweden, and you’re bringing the vehicle to Åland, you must declare it to Customs, but will not have to pay any customs duty for it.
If you’re buying the vehicle from a private individual and you have paid the VAT payable to the country of first use for the year of first use, you have to pay Finnish import VAT for the vehicle. However, you may qualify for import relief from the Finnish VAT (hidden tax).
If the VAT rate for the year of manufacture of the vehicle is different from the current VAT rate (25.5%), the amount of VAT payable is the difference in the VAT rates as a percentage of the purchase price of the vehicle.
The Tax Administration is responsible for the car tax levied on vehicles and related guidance.
I’m buying a used vehicle from outside the EU
When you’re buying a used vehicle from a country outside the EU, such as Norway, the vehicle must be declared to Customs. In addition, you must pay Finnish import VAT on the vehicle, as well as any customs duty that may be due.
The Tax Administration is responsible for the car tax levied on vehicles and related guidance.
Guidance on how to declare a used vehicle
If you are bringing in a used vehicle you’ve bought by driving it to Åland or you are taking a used vehicle from Åland to mainland Finland, you must declare the vehicle as instructed below.
If you bring in a used vehicle you’ve bought by driving it to Åland, declare the vehicle by following these instructions. The instructions depend on where you’re bringing the vehicle from.
A vehicle from elsewhere in Finland to Åland
Log in to the Import Declaration Service for private persons.
On the start page, select that you wish to declare, “an undeclared purchase already delivered to me/a newspaper or magazine subscription.”
On the page ‘Consignment details,’ select Finland as country of dispatch.
Tick the box ‘Declaration for a vehicle.’ As arrival date, provide the date when the vehicle was brought to Åland.
On the page ‘Goods details,’ tick the box ‘The goods are used goods.’ Enter the manufacturing year of the vehicle. Fill in the other details requested. If you don’t have any other goods to declare, move to the next page.
A vehicle to Åland from another EU customs territory, e.g. Sweden or Germany
Log in to the Import Declaration Service for private persons.
On the start page, select that you wish to declare, “an undeclared purchase already delivered to me/a newspaper or magazine subscription.”
On the page ‘Consignment details,’ enter the country of dispatch, for example Sweden.
Tick the box ‘The consignment will be delivered to Åland.’
Tick the box ‘Declaration for a vehicle.’
Enter the vehicle identification number (VIN). As arrival date, provide the date when the vehicle was brought to Åland.
On the page ‘Goods details,’ tick the box ‘The goods are used goods.’ Enter the year of manufacture of the vehicle. Fill in the other details requested and add the goods to the declaration basket. If you don’t have any other goods to declare, move to the next page.
A vehicle to Åland from a country outside the EU customs and fiscal territory, e.g. Norway
Log in to the Import Declaration Service for private persons.
On the start page, select that you wish to declare, “an undeclared purchase already delivered to me/a newspaper or magazine subscription”.
On the page ‘Consignment details,’ enter the country of dispatch of the vehicle, for example Norway. As arrival date, provide the date when the vehicle was brought to Åland.
On the page ‘Goods details,’ provide the vehicle you’re declaring.
If you’re declaring a used passenger car, use the tab ‘Goods search’ and start the search with the word ‘car.’ If you’re declaring some other vehicle than a used passenger car, don’t use the goods search, instead, enter the commodity code on the tab ‘Commodity code.’
Fill in the other details requested and add the goods to the declaration basket. If you don’t have any other goods to declare, move to the next page.
For taxation purposes, you should have this information:
- country where the vehicle was taken into use
- year and month when the vehicle was taken into use
- Has the vehicle only been in business use or has it been owned by a private person?
- When you buy a used vehicle that has been owned by a private person and the vehicle is from mainland Finland or from another EU country, it can be assumed that the vehicle includes the VAT of the country of manufacture for the year when the vehicle was taken into use. The VAT rate for the year when the vehicle was taken into use is set off against the current VAT rate (25.5%).
- The difference in the VAT rates will be levied as a percentage of the purchase price of the vehicle.
Make sure that you have the vehicle registration certificate and the invoice or some other document indicating the value of the vehicle. Customs will ask you to provide this information.
When you are declaring the goods in the Import Declaration Service for private persons, select “goods I’ve purchased” on the start page. On the “Consignment details” page, tick the box “Declaration for a vehicle”. Enter the vehicle identification number (VIN). On the “Goods details” page, tick the box “The goods are used goods”. Enter the year of manufacture of the vehicle. Fill in the other details requested.
Consignments sent from one private person to another must be declared in the service before the goods are sent from Åland. The consignee (recipient) is responsible for lodging a declaration. By ticking the box “I’m declaring goods on behalf of another person”, the consignor (sender) can, however, act as the representative of the consignee and lodge the declaration on behalf of the consignee.
Make sure that you have the vehicle registration certificate and the invoice or some other document indicating the value of the vehicle. Customs will ask you to provide this information.
For taxation purposes, you should have this information:
- country where the vehicle was taken into use
- year and month when the vehicle was taken into use
- Has the vehicle only been in business use or has it been owned by a private person?
- When you buy a used vehicle that has been owned by a private person and the vehicle is from mainland Finland or from another EU country, it can be assumed that the vehicle includes the VAT of the country of manufacture for the year when the vehicle was taken into use. The VAT rate for the year when the vehicle was taken into use is set off against the current VAT rate (25.5%).
- The difference in the VAT rates will be levied as a percentage of the purchase price of the vehicle.
I’m buying a new vehicle and bringing it to Åland
I’m buying a new vehicle from mainland Finland
When you’re buying a new vehicle from mainland Finland and bringing the vehicle to Åland, you must declare it to Customs, but will not have to pay any customs duty for it. You will have to pay Finnish import VAT for the vehicle.
Even though the Finnish car dealer charges you VAT on the sale, you still have to pay import VAT when declaring the vehicle to Customs. The Finnish dealer can later refund you the VAT on the sale based on the customs clearance decision. Afterwards, you can also apply for amendment or administrative review by Customs of the taxable amount, that is, of the sum based on which you paid the import VAT.
The Finnish dealer can also sell the new car to the customer free of VAT. In that case, the process of customs clearing the car into Åland will be easier. Read more: Tax free sale of a car for export from mainland Finland to Åland (example 18, in Finnish)
I’m buying a new vehicle from another EU country and the vehicle has already been customs cleared into the EU
When you’re buying a new vehicle from another EU country, such as Sweden, and you’re bringing the vehicle to Åland, you must declare it to Customs, but will not have to pay any customs duty for it. You will have to pay Finnish import VAT for the vehicle. Even though the car dealer charges you VAT on the sale, you still have to pay import VAT when declaring the vehicle to Customs.
I’m buying a new vehicle from outside the EU and bringing it to Åland
When you’re buying a new vehicle from a country outside the EU, such as Norway, the vehicle must be declared to Customs. In addition, you must pay Finnish import VAT on the vehicle, as well as any customs duty that may be due.
The Tax Administration is responsible for the car tax levied on vehicles and related guidance.
I’m bringing in the vehicle to Åland as removal goods
When you’re bringing in a used vehicle as removal goods to Åland, you must declare the vehicle to Customs regardless of which country or territory you’re bringing in the vehicle from. The car must be declared immediately the first time you bring it in as removal goods to Åland.
If you’re bringing in the vehicle as removal goods from mainland Finland or the EU, you can declare the vehicle at Mariehamn Customs. You can ask the Customs Information Service about other ways of declaring.
If you’re bringing in the vehicle as removal goods from a country outside the EU, such as Norway, you can declare the vehicle using form 1161, “Private person’s declaration of removal goods imported from outside the customs and/or fiscal territory of the EU”.
Form 1161 and its completion instructions can be found on the page import forms.
Read more: I am moving to Finland
Leasing cars to be used on Åland
Leasing cars to be used on Åland must be declared to Customs. The terms of contract of the car will determine under what customs procedure it can be placed. You can ask for more information about the customs declaration from the Customs Information Service for Åland and about car tax from the Tax Administration.
A vehicle previously used by a company
If you’re buying a vehicle that has previously been used by a company, please ask the seller if the vehicle includes deductible VAT. If the vehicle does not include deductible VAT, you should find out if you’re eligible for import relief (hidden tax). If you are eligible for import relief, you do not have pay Finnish import VAT for the vehicle.
Vehicles from an area within the EU but from outside its fiscal territory
Note that there are certain areas in the countries in the EU that are part of the customs territory but not the fiscal territory of the EU. Vehicles that are imported from outside the fiscal territory for registration in Åland must be declared to Customs, and Finnish import VAT must be paid for these vehicles.