News - 22.01.2025

Grants for Psychological Services Should Be Tax-Exempt

The Chair of VR, in accordance with a decision by the VR Board, has requested a meeting with the Minister of Finance and Economic Affairs to follow up on the union’s demand for changes to the tax treatment of grants for psychological services. Grants provided by unions to their members for rehabilitation or preventive measures, such as physical therapy and fitness, are exempt from income tax. However, this does not currently apply to grants for psychological services, and the VR Board demands that this be changed. The union considers psychological services to be a form of rehabilitation and prevention, no less than physical therapy.

Payments from the VR Sick Pay Fund have increased significantly in recent years, largely due to mental health issues. There is a considerable lack of adequate or accessible support in this area. VR believes it is the government’s responsibility to take decisive action on mental health issues and ensure that quality mental health services are accessible and affordable. One step towards this goal is to stop taxing grants paid to cover the cost of psychological services.