Estonian companies

0% corporate tax be applied in Estonia to income

0% corporate taxes on non-distributed profits;

0% corporate taxes on reinvested profits, including equity issue;

0% corporate taxes on received dividends. There is no time restriction on ownership of shares;

0% (or a reduced rate) for distributed dividends, where the dividends are distributed from a part of profits formed using received dividends or profits from which income tax has already been paid. It does not matter, if a double taxation treaty exists with a country where the subsidiary is located. There is also no time limitation on ownership of shares;
There is no ‘thin capitalization’ requirement (i.e. with regard to received loan and company capital ratio);
Annual reports for the past year are submitted by 30 June of the next year. Reports are only submitted to the Commercial Register of Estonia;
Compliance of reporting with IAS/IFRS international standards;
No special requirements for obtaining resident’s status for Estonian companies. Each Estonian company is a tax resident of Estonia;
Not all companies are subject to auditing;
No taxation on salaries of non-resident employees who work outside Estonia and are not members of management or control bodies of the Estonian company;