Read about upcoming regulatory changes in Estonia, including to application fees and taxes, which can impact you and your business
This article was originally published in October 2024 and updated in April 2026. Subscribe to our newsletter or follow us on LinkedIn for the latest updates.
As we move through 2026, we want to keep you informed about important updates to e-Residency and the wider legal environment in Estonia. These include changes to state fees from 2027 and the transition towards mobile, cardless e-Residency.
Some of these changes may affect how you apply for or renew your e-Residency. While fee increases can be challenging, they are part of broader efforts across Estonia to maintain a secure, reliable, and sustainable digital environment for everyone using its services.
There is also clear progress. The development of mobile e-Residency will make the programme more accessible and convenient, helping you manage your business fully online from anywhere in the world.
From 1 January 2027, the state fee for applying for or renewing the e-Residency card will be a flat fee of €165. The same flat state fee applies when issuing an e-Residency card in Estonia at the Police and Border Guard Board or at an embassy.
A state fee is an administrative fee paid when using services provided by Estonian public authorities. For example, you may pay a state fee when applying for e-Residency, registering a company, or making changes in the e-Business register. These fees help ensure that Estonia can continue to offer reliable, high-quality digital services that support running a business fully online.
The increase is part of a wider update to state fees managed by the Ministry of Foreign Affairs. It reflects rising operational costs, including background checks, card production, and secure delivery. State fees are designed to ensure that services remain sustainable and that costs are fairly shared among users. This supports a transparent and secure system that e-residents can rely on.
While the corporate income tax on distributed profits increased to 22/78 in 2025, there are no planned changes for 2026 or 2027.
The standard VAT rate increased to 24% on 1 July 2025. This is now a permanent change. Read more about tax rates on the Estonian Tax and Customs Board’s website.
Estonia is developing mobile biometric data collection for e-Residency applications and renewals, planned for introduction in 2027. After a public procurement process, the contract has been awarded to X Infotech, a Latvian software provider. They will develop a smartphone app that allows applicants to submit their facial image and fingerprints remotely.
This means you will no longer need to visit an embassy to provide biometric data, making the application process faster and more convenient.
The app will comply with EU eIDAS requirements, ensuring that your digital ID remains secure and legally valid for authentication and electronic signatures across the European Union. This is a key step towards a fully cardless e-Residency solution. Physical cards will continue to be issued until then, and you can still collect your card at more than 50 pickup locations worldwide.
