Employment contract in Estonia After opening a company in Estonia, an entrepreneur will go through the personnel selection phase for his company. Employing workers in Estonia must be done with the assurance of law compliance. An employment contract in Estonia represents an agreement made between an Estonian employee and an employer. Such contract states that…
Dividends represent a part of the profits of an Estonian company which are distributed among the shareholders after the business has paid all the taxes. Both natural persons and legal entities are imposed with the income tax on the dividends received from an Estonian company. Below, our company formation agents in Estonia explain how dividends are taxed in this country.…
According to Estonian Corporate Tax System, any undistributed corporate profit, of either local companies or foreign companies registered in Estonia, is tax-exempt. Both active (such as trading) and passive (dividends, interest, royalties) types of income are also tax-exempt. This exemption also covers any capital gain from all kind of sales - immovable…
What is a limited partnership in Estonia? A limited partnership in Estonia is a type of company in which two or more persons operate under a common business name. At least one person (the general partner) is responsible for the company's obligations with all his assets and the other person (the limited partner) only with…
Commerce, as an economic resource, is characterized by the number of trading companies, trade area, assets, number of employees, calculated on the basis of their different operational activities and efficiency indicators. Estonian economic activities are regulated by NACE (The European classifications for economic sectors), which came into effect from January…
Investors interested in opening companies in Estonia will need to keep in mind the fact that their businesses will require professional accounting services. It can be difficult, especially for foreign investors to get acquainted and find their way through the Estonian tax legislation and compliance. Our accountants in Estonia offer professional consultancy and assistance in a wide…
A holding company in Estonia is a group of several businesses under the same umbrella and this structure is motivated by a number of advantages received by the contractor. An Estonian holding company retains its identity and form of organization, as well as its place on the supply and sales markets. The connection between…
A liaison office in Estonia is a legal and economic entity performing intermediary functions between the main company and its external partners. As in other European countries, a liaison office is not a distinct legal entity, does not have legal personality and it is economic dependent on the company from which…
The value added tax (VAT) is the most important indirect tax in Estonia for which foreign and local companies must register. Below, our company formation agents in Estonia provide a thorough description of the VAT registration procedure. We can assist foreign investors setting up companies here with the Estonia VAT registration procedure as part of the business…
A shelf company is a company established by a service provider with the purpose to resell it immediately after creation. For many investors buyig a shelf company in Estonia is a convenient choice, as the business is alreadyregistered and, by a power of attorney, the new owner can immediately begin operations. Ready-made companies or shelf companies…
