Trade tax

(1) Investment funds are deemed other legal persons of private law within the meaning of section 2(3) of the Trade Tax Act.
(2) An investment fund is exempt from trade tax where 1. its objective business purpose is limited to the investment and management of its funds for the joint account of the investors, and 2. it does not actively manage its assets on an entrepreneurial basis to a material extent. The first sentence, no. 2 does not apply to holdings in 1. companies whose corporate object is directed at the management of renewable energy within the meaning of section 1(19) no. 6a of the Capital Investment Code, 2. real estate companies within the meaning of section 1(19) no. 22 of the Capital Investment Code, 3. infrastructure project companies within the meaning of section 1(19) no. 23a of the Capital Investment Code, and 4. PPP project companies within the meaning of section 1(19) no. 28 of the Capital Investment Code.
(3) The conditions of subsection (2) are deemed satisfied where the income from active entrepreneurial management, excluding income from holdings under subsection (2), second sentence, amounts in a financial year to less than 5 per cent of the investment fund's total income.
(4) The active entrepreneurial activity of an investment fund liable to trade tax constitutes a commercial operation. The profit of the commercial operation is to be determined as the excess of operating income over operating expenses. The profit so determined is the profit under section 7, first sentence of the Trade Tax Act for determining the trade income.