Estonian VAT number
The VAT registration obligation in Estonia arises from the moment when the company’s sales turnover exceeds 40 000 EUR per the calendar year. Registration must be done in Estonian Tax and Custome Board within three working days from reaching the VAT registration threshold.
At the same time, the company may apply for VAT status before it reaches this amount if the business model needs it.
The Tax and Customs Board shall make a decision on registration within five till ten working days after receipt of the application. In the case of additional questions, this deadline may be extended.
If the company has the VAT number, monthly declarations are mandatory, so there arises a need for accounting.
Before applying for VAT number the company must have valid banking solution/IBAN.
In order to apply for the VAT number, it is required for the board member to visit tax office in person or digitally sign the application or to authorize us to act on behalf of the company.
In case you are in a hurry with starting your business transactions we strongly recommend to purchase a company with an active VAT number.
We offer our clients the opportunity to minimize their time by organizing a VAT registration for the company.
The service includes consulting the client (up to 1 hour), preparing a registration application and submitting it to the Tax and Customs Board, communicating with the tax inspector (up to 1 hour).
Representing the client in the Tax and Customs Board regarding VAT application is additional service for which the fee is agreed separately.
VAT registration as a service is 75 EUR.
In accordance with the EU VAT Directive, a local Estonian fiscal representative or agent is not required by a company resident in another EU member state. However, a fiscal representative, who is jointly liable for the Estonian VAT, is required for non-EU companies. An exception to this is the supply of services to Estonia over the internet by a non-EU company. In this case the company would be required to register for VAT directly with the Estonian tax authorities.
The Role and Liability of the Fiscal Representative
Fiscal Representative is required by the local tax code to ensure that:
- The foreign trader is properly registered with the local tax office
- The trader is fully compliant with rules on invoicing, VAT treatment, exchange rates etc.
- Accounting records are maintained to exacting local standards, and that they are readily available for inspection by the tax authorities.
- All VAT and associated filings are correctly prepared and submitted
- Enquiries and tax inspections from the VAT office are professionally handled
The cost of the agent’s services is agreed on a case-by-case basis
Additional info about Estonian VAT system.