How to get a VAT ID for an Estonian company


General requirements

If the company sales in EU exceeds 40 000 EUR, then the company must apply for a VAT ID.

In case you want to apply for a VAT ID before you have started a business or the 40 000 EUR limit is exceeded, it is required to explain the planned business activities.

It is important to know that VAT ID is not granted always automatically and further investigation might be done by the tax authorities. Giving sufficient supporting explanations and evidence usually helps to avoid further questions from tax authorities and related time.

Authorities usually make the decision in 1 week.

Tax returns become compulsory

Once your company has been granted a VAT ID, you must submit monthly tax returns, even if your company does not have any activities at all.

Monthly tax reports are:

  • Income tax return - latest on the 10th day of the next month
  • VAT return - latest on the 20th day of the next month 

In case you fail to submit the tax returns on time, your company might get a penalty from the tax authorities and you may lose the VAT ID.