Taxation in
Estonia
Estonia offers one of the most business-friendly tax systems in the world, especially for digital entrepreneurs, e-residents, and foreign investors. Whether you need help with corporate tax, VAT registration, or personal taxation, ZABS Legal ensures full compliance with the Estonian Tax and Customs Board (ETCB) while optimizing your tax liabilities.
Features
At ZABS Legal, our dedicated team provides expert tax solutions to ensure compliance with Estonia tax regulations while maximizing deductions. Our key features include:
Process and Duration
The duration for tax filing and compliance in Estonia can vary based on several factors, including your business structure, tax obligations, and filing requirements. However, here’s a general timeline:
Step 1: Tax Registration & Consultation
We assess your business model, income sources, and expenses to determine your tax obligations in Estonia.
Step 2: Tax Filing & Compliance
We prepare and file your corporate tax returns, VAT filings, and payroll taxes with the Estonian Tax and Customs Board.
Step 3: Ongoing Tax Support & Planning
We provide continuous tax advisory, compliance monitoring, and audit support to keep your business fully compliant.
Requirements
For Businesses (Private Limited Companies – OÜ, E-Residents, Startups):
Business Registration Number (provided by e-Business Register)
VAT Registration (if applicable)
Annual Financial Reports
Payroll & Employee Tax Details
Previous Tax Returns (if applicable)
For Individuals (Freelancers, E-Residents, Sole Traders):
Estonian Personal Identification Code (if applicable)
E-Residency Card (if registered as an Estonian business)
Income & Expense Records
Previous Tax Returns (if applicable)
Focus on your business
let us focus on the rest
It's time you had a micro-site you that worked for you.
see what our
clients says
What are the corporate tax rates in Estonia?
Estonia has a 0% corporate tax on retained and reinvested earnings. A 20% tax is applied only when profits are distributed as dividends.
Do I need to register for VAT in Estonia?
You must register for VAT if your annual taxable turnover exceeds €40,000 or if you conduct business within the EU VAT zone.
How can I legally minimize my tax liabilities in Estonia?
- Reinvest profits to benefit from Estonia’s 0% corporate tax policy.
- Optimize dividend distribution to reduce tax burdens.
- Use Estonia’s digital infrastructure for tax efficiency.
What happens if I miss a tax filing deadline in Estonia?
Late filings may result in fines and interest penalties. We help you manage deadlines and file extensions if needed.
Do foreign-owned Estonian companies have tax obligations?
Yes, even e-residents and foreign-owned companies must comply with corporate tax laws, VAT regulations, and payroll taxes if applicable.
Can ZABS Legal assist with Estonian tax audits?
Yes! We offer audit representation, compliance checks, and dispute resolution to ensure your business remains in good standing.