If the company is registered as VAT liable (has valid VAT number from Estonia), then it is mandatory to submit Estonian Tax-and Customs Board VAT declaration on a monthly bases. Certain expenses and payouts, such as expenses not related to business, fringe benefits, payouts without proper base document, salaries, dividends etc are subject to income tax and some of them to social tax as well.
Monthly accounting is required for monthly tax reporting
To ensure proper reporting of VAT, income – and social tax, the accounting of trading, expenses and payroll must be done on a monthly bases. As your advantage you will then be updated with your business performance instantly.
VAT liability in other countries
If the company trades in other EU countries, or company place of management is located in other EU country, or it has employees/freelancers working from other country, or it sells products via e-commerce, or it sells digital services to consumers, then it is likely that additional accounting and tax obligations will be mandatory in participating countries. You may check your company’s tax obligations from the EU website.
Once you have signed up for our accounting service, we will appoint you a dedicated accountant who will suit your needs. We will guide you how to grant accountant an access to online tax reporting system. We will also agree with you the form of delivery of accounting documents to us, whether it be by email, via cloud service, in the accounting system, or by other means. Generally we do not require original accounting documents on paper, the electronic copies/files are just as good.
Consult us for more information
If you are unsure about your company VAT requirements, consult us and we will guide you through Estonian local and EU VAT framework