Estonia offers excellent opportunities for extension of market share in Baltic countries and provides possibilities for further development into Scandinavian countries. Estonian tax system is favorable for business development, as far as the profit, refinanced in business and undistributed into dividends, is not subject to income tax.
Main requirements for company registration in Estonia (LLC, Estonian – OÜ):
If necessary, UniverseLAW will provide you with a legal address.
For today, Estonia is an unprecedented EU jurisdiction concerning taxation. Estonia may be undoubtedly defined as an “onshore”, where the companies are subject to a 0% income tax.
Obtaining a taxpayer status (VAT number)
Similar to Latvia and Lithuania, in order to obtain a taxpayer status (VAT number), it is obligatory to submit information regarding future business partners and provide project agreements with potential business partners. In most cases it is required to arrive to Estonian tax office in person for the interview.
Taxes in Estonia
Social tax rate is 33%
Tax (VAT) reports must be filed on a monthly basis, until the 20th day of every month. Reports on the company’s business activity must be filed on a yearly basis.
Time required for company registration: 5 working days.