Deduction for a donated forest
If you have received forest as gift, you may be entitled to a deduction for donated forest. This deduction can be granted to a gift recipient under certain conditions, including large size of the forest land, a sufficient amount of income received from forestry during the tax year, and tax treatment of that income as capital income.
More information on the requirements and the amount of deduction
The deadline for submitting a claim for the deduction for donated forest is the date when the Tax Administration finishes your assessment for the tax year. You cannot claim this deduction on a retroactive basis, in reference to any earlier tax year.
How to file in MyTax
Go to Other deductions. Click the Show more link at the bottom of the page to make the Deduction for donated forest section to appear. Select Yes for Deduction for donated forest. Proceed to fill in the amounts and information.
When you use MyTax to complete your tax return, the following amounts may be pre-filled on the appropriate lines:
- deduction bases of forest property received as gift
- previously used deductions for donated forest
- amount of deduction base available
You can use MyTax to make changes to the above. If no base amounts are found, you should fill them in yourself. After you have done so, MyTax will perform the necessary calculations to arrive at the deduction.
How to file on paper
If you claim this deduction by filling in a paper form, complete and submit Form 2L – Deduction for donated forest.