Tax Treaty between Estonia and Pakistan comes into effect
The income tax treaty between Estonia and Pakistan officially entered into force on 30 April, 2024, marking a significant milestone in bilateral economic relations. Signed on 20 November, 2023, this historic agreement is the first of its kind
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Estonia passes laws for public CbC reporting and partial adoption pillar 2 GloBE rules
On 10 April 2024, Estonia’s parliament passed the Act supplementing the Tax Information Exchange Act, the Taxation Act, and the Income Tax Act (379 SE). This law outlines the requirements for the implementation of public CbC reporting in
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Estonia: Preliminary bill for public CbC reporting submitted to parliament
On 12 February 2024, a draft bill was introduced to the Estonian Parliament to incorporate the EU Public Country-by-Country (CbC) Reporting Directive into Estonian legislation. The parliament acknowledged there are a limited number of companies that
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Estonia passes draft law for delaying pillar 2 global minimum tax and public CbC reporting
On 8 February 2024, Estonia's Ministry of Finance, in a release announced that it passed the draft legislation to postpone the implementation of the Pillar 2 global minimum tax until the year 2030. Until that time, the companies that fall within the
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Estonia delays implementation of Pillar 2 global minimum tax
On October 27, 2023, Estonia published a draft legislation to incorporate OECD Pillar 2 rules into its domestic law, aligning with the EU Minimum Tax Directive. The draft does not incorporate provisions regarding income inclusion rule (IIR) and
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Estonia: Parliament approves law to increase income tax rates
On 19 June 2023, the Estonian Parliament approved Income Tax Act and Defense Service Act Amendment Act 148 SE which increases both the personal income tax and corporate income tax rates by 2 percentage points to reach 22% from 20%. Also, the income
See MoreEstonia: Government approves Law on DAC7
On 20 October 2022, the Estonian Government approved Law regarding new reporting obligations Council Directive (EU) 2021/514 for digital platform operators (DAC7) into domestic law. This directive has been published on 25 March 2021, entered into
See MoreEstonia deposits new notifications under Article 35(7)(b) of the BEPS MLI
On 1 June 2022, the Organization for Economic Cooperation and Development (OECD) announced that the Republic of Estonia notified the confirmation of the completion of its internal procedures for the entry into effect of the provisions of the
See MoreEstonia deposits new notifications under the BEPS MLI
On 25 November 2021, the Organization for Economic Cooperation and Development (OECD) has announced that Estonia deposited new notifications under the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and
See MoreOECD: Peer review reports on making tax dispute resolution more effective
On 25 May 2021 the OECD released a further batch of eight Stage Two peer review reports in relation to making dispute resolution mechanisms more effective under BEPS Action 14. The minimum standard under BEPS action 14 is concerned with
See MoreEstonia: BEPS MLI enters into force
On 1 May 2021, the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) entered into force for Estonia. Estonia deposited its ratification instrument on 15 January 2021. For the
See MoreEstonia deposits BEPS MLI ratification instrument
On 15 January 2021, Estonia has deposited its ratification instrument for the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI). The MLI will enter into force for Estonia on 1 May
See MoreEstonia: Parliament adopts Law on deferral of DAC6
On 12 December 2020, the Estonian Parliament has adopted the Tax Information Exchange Amendment Act on its website regarding deferral of DAC6. The Law entered into force on 4 December 2020, and shall be applied retroactively from 30 June
See MoreEstonia: Parliament adopts Bill to amend BEPS Multilateral Instrument (MLI)
On 9 December 2020, the Estonian Parliament (Riigikogu) has adopted Bill No. 286 SE to amend a Law on the Ratification of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting. The Bill
See MoreEstonia: Parliament considers Bill to amend BEPS Multilateral Instrument (MLI)
On 10 November 2020, Estonia’s parliament (Riigikogu) has accepted for consideration Bill No. 286 SE, to amend a Law on the Ratification of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit
See MoreDAC6 Updates: Optional deferral of DAC6 reporting deadlines
On 24 June 2020, the European Council reached agreement on an optional 6-month postponement to the reporting deadlines for relevant taxpayers under EU Directive 2018/822 (DAC6), and a delay to the exchange of information under
See MoreEstonia extends deadlines for DAC6 reporting amid COVID-19
On 26 June 2020, the Estonian Ministry of Finance has proposed for the deferral of reporting on EU cross-border arrangements (DAC6) due to COVID-19 pandemic. All reporting and data exchange deadlines in 2020, the first reporting year, are thus
See MoreEstonia extends individual tax return filing deadline amid COVID-19
On 4 May 2020, the Estonian tax authority has announced that due to the special situation, all offices of the Tax and Customs Board across Estonia will be closed at least on 18 May. The deadline for submitting individual paper tax returns has been
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