Countries/Estonia
Estonia

Starting a business in Estonia

Corporate tax falls due only when profit leaves the company. Retain and reinvest, and the rate is zero for as long as you like.

e-Residency or Resident company?All guides
At a glanceVerified Sep 2026
0%
Retained profit
22%
On distribution
24%
VAT
EUR 0.01
Minimum capital
Verified against official sourcesSee citations →

Browse by topic

Estonia guides
Company formationRegistration steps, costs, timelines and documents.Corporate taxRates, VAT and the reliefs that actually apply.Business lawsCompliance, UBO rules, labour law and penalties.Free zonesChoosing a zone, setup process, mainland comparison.Banking & financeBusiness accounts, payment gateways, crypto rules.Visas & residencyGolden, investor and freelance visa pathways.

The decision that shapes everything: e-Residency or physical presence

e-Residency
Digital ID, remote OU
  • Form and run the company entirely online
  • Contact person required, EUR 200 to 400 a year
  • Banking usually runs through Wise or Revolut
  • Confers no right to live or be taxed in Estonia
vs
Resident company
Local presence
  • Opens the door to LHV and domestic banking
  • Easier to argue substance for treaty purposes
  • Brings Estonian personal tax into scope
  • Physical office and local staff cost real money

All Estonia guides

guides

Estonia rule changes, in your inbox

Corporate tax guidance, free zone updates and visa changes, one email a week.