The main advantages of doing business in Estonia are:
- stable tax laws
- 0% income tax rate on undistributed profits
- opportunity to apply for a residence permit in Estonia
- opportunity to buy and use machinary, equipment and property
- highly developed Internet banking system, and various online services
- have nothing to do with the reputation of offshore companies
- unlimited withdrawal of profits and capital.
Information about the companies:
General forms of business:
- general partnership
- limited partnership
- commercial cooperative society
- Limited Liability Partnership (LLP)
- Joint Stock Company (JSC)
Companies with limited liability and joint-stock companies are the most common forms of business.
Minimum share capital to register a company are:
- LLP - 2500 Euro.
- JSC - 25000 Euro.
The minimum number of shareholders:
Shareholder(s) can be an individual(s) or legal entities, residents and nonresidents of Estonia. The minimum number of shareholders - 1. But in the board has to be at least 50% by EU residents.
Taxation of Companies in Estonia
Rates of main taxes in Estonia:
- Corporate income tax of 0%, (for retained earnings)
- income tax from physical persons 21%
- income tax on dividends 21/79;
- Social tax 33%
- sales tax (VAT) 20%
- unemployment tax on wages of the employee from 0.3% to 0.6% (applies to residents of Estonia).
Also there: land tax, gambling, customs duty, excise tax on heavy vehicles.
Registration of companies in Estonia
How to register a company in Estonia? It is very simple.
To make a new entry in the commercial register for a new commercial entity - we need to prepare the documents and go to a lawyer. The following documents are needed:
- A copy of passport and your contact information
- Pay registration fee (the price includes the preparation of documents, legal costs, notary fees, etc.) - 1000 Euro to the account of our company,
- Arrive in Tallinn at the appointed day to visit a notary with our lawyer and board member of the EU-resident (the payment of its nominal participate without the signature of agreement)
- Open to any Estonian bank account.
After that, within 5 working days, the company will be ready. From the commercial register you will receive an email notification about it.
