Estonia VAT Calculator
Estonia VAT Rates Overview
Complete breakdown of Value Added Tax rates in Estonia
Current VAT Rates
| Rate Type | Percentage | Applies To |
|---|---|---|
| Standard Rate | 22% | Most goods and services |
| Reduced Rate 1 | 9% | Essential goods, food, books, etc. |
History of VAT Changes in Estonia
Timeline of Value Added Tax rate modifications
Historical VAT Rate Changes
- 2025: Current standard rate of 22%
- Historical data being compiled
- 2025: Current standard rate of 22% (no change)
- 2020: Temporary reduction during pandemic
- 2011: Rate increased from X% to Y%
- 2008: Temporary reduction during financial crisis
- 1991: VAT system introduced at X%
Economic Impact
VAT contributes approximately 20-30% to Estonia's total tax revenue. The current rate structure balances revenue generation with economic competitiveness within the EU region.
Exemptions and Reduced Rates in Estonia
Special VAT rules and exemptions for specific sectors
Zero-Rated Items
The following items are zero-rated for VAT in Estonia:
- Exports of goods and services
- International transportation
- Some basic food items
- Children's clothing (some countries)
- Books and newspapers (some countries)
- Prescription medications
- Exports of goods and services
- International transportation
- Basic food items (specific list varies)
- Children's clothing and footwear
- Books and newspapers
- Prescription medications
VAT Exempt Items
The following are exempt from VAT in Estonia (no VAT charged, no input VAT recovery):
- Financial services
- Insurance services
- Healthcare and medical services
- Education and training
- Postal services
- Charitable activities
- Financial services
- Insurance services
- Healthcare and medical services
- Education and training
- Postal services
- Charitable activities
Reduced Rate Applications
Items subject to reduced VAT rates in Estonia:
- 9% rate: Various essential goods and services
VAT for Businesses in Estonia
Essential information for companies operating in Estonia
VAT Registration
- Registration Threshold: Varies EUR annual turnover
- Voluntary Registration: Available below threshold
- Registration Process: Online via tax authority website
- Processing Time: Typically 2-4 weeks
VAT Returns and Payment
- Filing Frequency: Quarterly or Monthly
- Filing Deadline: End of month following period
- Payment Methods: Bank transfer, online payment
- Late Filing Penalties: Varies by amount and delay
Cross-Border Trade
Special considerations for international transactions:
- Intra-EU Trade: Zero-rated with valid VAT numbers
- Imports: VAT payable at point of entry
- Exports: Generally zero-rated
- Digital Services: Subject to OSS rules for B2C sales
Compare VAT Rates
VAT rates in neighboring and similar economies
Frequently Asked Questions
Common questions about VAT in Estonia
What is the current VAT rate in Estonia?
The standard VAT rate in Estonia is 22% as of 2025. This applies to most goods and services unless they qualify for reduced rates or exemptions.
How do I calculate VAT in Estonia?
To add VAT: multiply the net amount by 22%. To remove VAT from a gross amount: divide by 1.22. Use our calculator above for instant results.
Who needs to register for VAT in Estonia?
Businesses with annual turnover exceeding Varies EUR must register for VAT. Voluntary registration is available for businesses below this threshold.
Can I reclaim VAT in Estonia?
VAT-registered businesses can generally reclaim input VAT on business purchases. Non-EU tourists may claim VAT refunds on qualifying purchases when leaving the country.