Taxes on Kela Money

[mahwish]

Hi
I get Kela money for home care of my two children. When I got the decision, Kela said they would tax my benefit by 20%. I went to the tax office and they said that since I did not have other incomes, there would be a zero tax and they also wrote me a letter which I handed over to Kela. What happened then? Kela started to tax me by 27% and they said that my personal tax limit per year was €1500. Any earnings or benefit exceeding €1500 would be taxed at the rate of 27%. In my opinion, this personal allowance for tax limit €1500 is extremely low.Everyone in Finland should earn more than €1500 per year to survive. Right?
I don't know the proper word but for example in the UK, if a person earns below £9440, he does not pay any taxes and that is called personal allowance. Please see this http://en.wikipedia.org/wiki/Income_tax ... _countries

Is that tax free allowance limit €1500 in Finland?

Last time I visited Kela, the advisor was saying that I should be taxed at the rate of 20% but he said I should claim this money from the Tax office.What should I say to them?I don't know how to plead my case?

Can someone help?

[Rosamunda]

If you think you are going to pay too much tax then just ask Vero (tax office) for a new tax card. You can do that on-line.

Use the tax calculator to work out your total tax for the coming year based on your forecasted income. Everything you need is on this page:
http://www.vero.fi/en-US/Individuals/Tax_Cards

1) Calculate your tax using the tax percentage calculator: http://prosentti.vero.fi/VPL2014/Sivut/ ... ieli=en-US
2) Request a new tax card: http://www.tax.fi/en-US/VKV

Remember, if you don't pay enough tax during the year, then you will be sent a bill in December.