Frequently asked questions

No. Everything is remote. Most of our clients have never been to Estonia and do not need to be. Onboarding, signatures and filings all work digitally with an e-Residency card, ID card, Mobile-ID or Smart-ID.

From €20 per month for a dormant or very small non-VAT company, €45 for a small VAT-registered company, and €60 and up for a company with regular activity. The price depends mainly on employee count and transaction volume.

Estonia does not tax retained profit, so profit reinvested in the business is untaxed. Distributed profit is taxed at 22/78 of the net dividend. It is a deferral of tax, not an exemption, and the company still has full accounting and reporting obligations.

Yes, and it is more common than you would think. We quote separately for the catch-up period and then move you onto the normal monthly fee.

English, Estonian, Russian and Spanish. Filings with the Tax Board and the Commercial Register are made in Estonian, as required.

Usually within a few working days of you accepting the quote. Mid-year switches are routine.

Yes. An Estonian OÜ with zero turnover still has an accounting obligation and still has to file an annual report by 30 June. A dormant company is cheap to maintain, but it is not exempt.

Yes, that is a common request. We review what exists, quote separately for the catch-up period, and then move you onto the normal monthly fee.

We work with the common Estonian systems and with the tools e-residents already use. If you have a preference we will usually accommodate it; if you have none, we will set something up that keeps your costs down.

Email, a shared folder, or a direct feed from your invoicing tool. Most clients send nothing manually after the first month.

Not exactly. Estonia does not tax retained corporate profit, so profit reinvested in the business is untaxed. When profit is distributed as a dividend it is taxed at 22/78 of the net amount. That is a deferral, not an exemption.

No. Everything we do - onboarding, declarations, the annual report - works remotely with your e-Residency card or through an authorisation in the e-Tax Board.

Possibly. Your personal tax residence, and where the company is actually managed from, both matter. We tell you plainly where the risk sits rather than pretending Estonia solves it.

Yes. Late reports, missed VAT registration and unfiled declarations are all fixable. The earlier you start, the cheaper it is.

By the 10th day of the month following the payment. Estonian payroll taxation is cash-based, so a December salary paid in January falls under the new year's rules.

Yes, in most cases. The employer's social tax obligation is calculated on a statutory minimum monthly base regardless of a lower actual salary, with limited exceptions.

No. A board member relationship is not employment. But board member fees are still taxed and declared, and the social tax treatment differs from a salary.

Yes. Non-resident payments have their own TSD annex and often raise a treaty question, which we assess before the first payment.

Six months after the end of the financial year. For the usual calendar financial year that means 30 June - so the 2025 report is due by 30 June 2026.

The register can impose fines that range from a few hundred euros up to several thousand, repeatedly, on the company and on board members personally. Compulsory deletion proceedings can start about three months after the deadline.

Yes. A zero-activity report is short and inexpensive, but it is mandatory.

Yes. We regularly bring companies that are two or three years behind back into good standing.

The standard rate is 24%, in force since 1 July 2025. Reduced rates of 13% (accommodation) and 9% (books, press, medicines) apply to specific supplies.

When taxable turnover exceeds €40,000 in a calendar year. Registration is also required in some cross-border situations regardless of turnover, and it is available voluntarily below the threshold.

The 20th day of the month following the taxable period, together with the KMD INF annex.

It depends on whether they are VAT registered, whether you supply goods or services, and where the place of supply is. We map this for your specific sales flows.

When your cross-border B2C sales of goods and digital services to other EU member states exceed €10,000 in a calendar year. Below that you may keep charging Estonian VAT, or opt into OSS voluntarily.

Imports of goods into the EU in consignments valued at €150 or less. It lets you collect VAT at checkout and avoid the customer being charged on delivery.

Sometimes. For certain sales the marketplace is treated as the supplier and accounts for the VAT itself. Which sales those are depends on where the goods and the seller are - this needs to be mapped, not assumed.

Quarterly, and it is separate from your monthly Estonian KMD.

As far as needed. Reports for several past years can still be filed, and doing so is usually what stops deletion proceedings.

Possibly. Register fines for late reports commonly run from a few hundred euros upwards and can be repeated. Filing voluntarily before enforcement escalates usually improves the outcome.

Not necessarily. Restoration is possible through a court application within three years of deletion, subject to filing the missing reports and a state fee.

No. This is routine work for us. The only thing that matters is starting.

Yes. A short scoping call costs nothing. We tell you whether the question is quick or whether it needs paid analysis.

We advise on the Estonian side and identify where the other country's rules matter. For a formal position abroad we will tell you that a local adviser is needed rather than guessing.

Yes. We prepare the documentation, draft responses and represent you in routine correspondence with the Tax Board.

The minimum is low and payment can in many cases be deferred, but deferring has consequences for dividend distributions. We explain the trade-off before you decide.

If no board member resides in Estonia, the company must have a contact person and a legal address here. This is a formal requirement, and we will point you to compliant options.

We guide the process and work alongside formation providers. The registration itself is done with your own digital identity, which keeps you in control of the company.

From the date of registration. There is no grace period, which is why we recommend setting bookkeeping up at the same time.

Often yes, at least in part. Board member remuneration paid by an Estonian company generally has an Estonian source, and many treaties allow Estonia to tax it. The person's country of residence may also tax it with relief for the Estonian tax.

A document confirming which country's social security system a person is covered by when working across borders in the EU. Without it, two countries can both claim contributions.

Not always, but it can - particularly if the person concludes contracts or the activity is central to the business. It needs assessing on the facts.