Overview of Estonia’s Tax System

Types of Taxes

National and Local Taxes

National taxes include income tax, social tax, value-added tax (VAT), excise duties, customs duties, gambling tax, land tax, and the tax on heavy vehicles.
Local governments may also impose local taxes, e.g. for the use of infrastructure, depending on the municipality.

Direct and Indirect Taxes

• Direct taxes are paid by the company (e.g. income tax, land tax, heavy vehicle tax).
• Indirect taxes are added to the price of goods and services and paid by the end consumer (e.g. VAT, excise duties, customs duties).

Common Business Taxes

Taxes and their rates depend on your business activity. These may include:

• Income tax
• VAT
• Social tax
• Customs duties and excise taxes
• Unemployment insurance contribution
• Environmental usage fees
• Taxes on international activity
• Other applicable taxes

Tax Collection, Control and Business Transparency

Who is responsible?

The Tax and Customs Board (MTA) handles tax collection, monitoring, and enforcement. For local taxes, this responsibility lies with local municipalities.
If taxes are unpaid, paid late, or calculated incorrectly, companies may be subject to fines, interest, or penalties.

Company obligations

Companies are required to:

• Maintain accurate accounting and tax records;
• Submit tax declarations on time;
• Provide summarized financial data (income, expenses, assets, liabilities) upon request.

This ensures tax transparency and allows authorities to assess compliance.

Taxpayer Rating (e-MTA)

The e-MTA portal offers a “Ratings” section, where companies can:

• View their tax behavior rating;
• Access publicly available company data;
• Receive guidance to correct issues.

By following these suggestions, businesses can reduce the risk of audits and additional liabilities.

Checking new business partners

Before entering into cooperation, it's wise to verify whether a potential partner:

• Is compliant with tax obligations;
• Has no payment issues or outstanding debts.

Useful tools:

• Krediidiinfo credit reports (paid service), including:
  • Credit ratings, limits, debt history, and annual reports;
• The e-Business Register, where you can search for official company information.

Tax Calendar

The Tax and Customs Board publishes a tax calendar showing all key deadlines. It helps business owners and accountants submit reports and make tax payments on time.