Taxation in Estonia is growth-friendly and allows foreign companies to optimise tax costs. Estonian tax system provides for the payment of income tax only in the case of distribution that allows foreign companies to use an Estonian company for reinvestment.
There are many statutory “preferential” business opportunities in Estonia, unique in its financial and legal nature in comparison with other EU countries. The legislation of Estonia states that at the time of the company establishment there is no need to make its share capital (2,500 EUR). The determined period for its formation according to the legislation is up to the date of payment of dividends. But it should be noted, that if the authorised capital is not paid, the owner (founder) is responsible for its own funds in the amount of authorised capital.
The main taxes for companies in Estonia are available HERE.
If the principal activity of the Estonian company will take place in another country, the company be a tax resident of the country, where the principal activity takes place. In the case of the establishment of an Estonian company in another country, the taxation will be subject to the law of that respective country.grow