How does the tax system in Est...

I’ve been looking into relocating my business structure to Estonia, mostly because I heard their tax system is pretty friendly. But I’m not totally sure how it works in practice, especially for small companies or solopreneurs. Do you only pay taxes when withdrawing profits? What about VAT and payroll taxes? Would love to hear how it looks day-to-day.

The tax system in Estonia is one of the main reasons I moved my company there. You don’t pay corporate income tax until you distribute profits, which means you can reinvest everything tax-free. For small businesses that’s a huge win. VAT is 20%, and you only need to register if your turnover passes the threshold (about €40k). Payroll taxes are around 33% if you pay yourself a salary. I use accounting tax services to manage everything - they handle all the reporting and make sure I stay compliant without overpaying. They also helped me structure things so I’m tax-efficient but still safe from any legal issues.

That’s really clear now, thanks! I see why people go with Estonia. I’ll reach out to Finance PRO to get help with setup and compliance.