The municipal tax rate in Helsinki is 18.5 per cent year 2016. The tax incomes of the city are made up of the municipal tax, the property tax and the dog tax. In 2015, the estimated tax incomes of the city are 3.0 billion Euros in total.
In 2015, the general property tax rate is 0.80 per cent, the tax rate for permanent residential buildings 0.37 per cent and the tax rate for undeveloped sites 2.30 per cent.
In accordance with the Dog Tax Act, the City of Helsinki collects a dog tax on dogs owned by city residents. The tax is 50 Euros.
Operating expenses and debts
The annual operating expenses of the City are about 4.7 billion Euros excluding city business operations. To cover the expenses, the City receives tax incomes, payments and other incomes. All expenses and investments cannot be covered with these incomes. The remaining expenses must be covered with debt. At the end of 2012, the debt was 1 986 Euros per resident. The same figure was 2 157 Euros for 2011, 1 989 Euros for 2010 and 1 544 Euros for 2009.
Incomes and expenses
Municipal taxes constitute 53 per cent of all city incomes in 2014. Rental revenues are the next biggest incomes group with a 14 per cent share. Corporation tax, property tax, state subsidies, sales incomes and payment incomes each form a small share of about 5 per cent of all incomes.
Service purchases make up the biggest part of the expenses of the city, 40 per cent of the operating expenses. The next biggest share is salaries, 27 per cent. Rents account for 11 per cent, indirect personnel expenses 9 per cent and organisation subsidies 8 per cent. Substances and materials account for approximately 4 per cent of the expenses in 2014.
The biggest expenses in social and health services
The Department of Social Services and Health Care has a 47 per cent share of all operating expenses of the City of Helsinki in 2015. Public Works and Environmental Affairs and the Education Department both cut a 14 per cent slice. The expenses of the Department of Early Education and Care equal an 8 per cent share of the operating expenses, while the same figure for City Planning and Real Estate is 7 per cent.
The biggest investment object during 2014–2016 is Kalasatama
The biggest investment objects of the City of Helsinki during 2014–2016 are
- Ground preparation work, parks and streets in Kalasatama,
85 million (the entire project in the long run 268 million in total)
- Ground preparation work, parks and streets in Pasila,
52 million (204)
- Ground preparation work, parks and streets in West Harbour,
51 million (159)
- Ground preparation work, parks and streets in Kruunuvuorenranta,
37 million (127)
- Helsinki Vocational College, reconstruction of the Roihuvuori building,
35 million (49)
- Helsinki Vocational College, alteration work on the building at Teollisuuskatu 23,
25 million (44)
- Helsinki Central Library (Helsinki’s share 50 %),
18 million (48)