Taxes in Estonia
The Estonian tax system has several convenient features, which make Estonia a low-risk, cost- effective place for e-residents to start a business from scratch:
- Pay NO taxes on annual income and submit NO annual tax return, regardless of profits or losses
- Pay 0% tax on reinvested profits
- Declare and pay your taxes completely online once you are distributing profits
- NO need to register as an employee or board member until your company has sufficient profits to pay dividends or salary
- Deal with the friendliest tax authority in the world, the Estonian Tax and Customs Board
- Important: e-Residency is not a tax residency for you or your company. You may have foreign tax liabilities (e.g., in your country of residence). Read more about cross-border taxation.