🇪🇪 Estonia Tax Guide - Income Tax, Corporate Tax & Special Regimes

Top income tax 22.0% Worldwide system

Corporate tax 22.0% distributions only

KM 24.0% standard rate

Tax residency 183 days 66 tax treaties

Estonia tax profile

Data year: 2026

Tax system: Worldwide Unique CIT system: 0% on undistributed profits, 22/78 on distributions (headline 22% rate). Flat PIT 22% on most income; basic exemption up to EUR 8,400 per year from 2026 (no income taper).
Top PIT rate: 22.0%
Corporate tax rate: 22.0% (distributions only)
KM: 24.0%
Capital gains tax: 22.0% 22% flat for individuals. For companies, gains are taxed only upon profit distribution.
Social security (employee): 1.6%
Social security (employer): 33.8%
Dividend withholding: 0.0%
Interest withholding: 0.0%
Royalty withholding: 10.0%
Treaty count: 66

Personal income

Personal income brackets
Bracket min	Bracket max	Rate	USD equivalent
EUR 0	and above	22.0%	--

Special regimes
Name	Type	Rate/amount	Duration	Status
Corporate Tax Deferral (0% on Retained Profits) 0% corporate income tax on undistributed profits. Tax of 22/78 only triggered up...	Deferral	0.0%	--	Active

Participation Exemption Nomad Tax Regime

Days threshold: 183 days
Residency rules: Tax resident if place of residence is in Estonia or physically present at least 183 days in any 12 consecutive calendar months (partial days count). Resident from first arrival day in the qualifying period unless only a permanent home abroad applies.
Exit tax: Yes Corporate exit tax (Income Tax Act § 54⁵, ATAD): when a resident company moves assets to a foreign permanent establishment, tax applies to market value minus carrying amount, with limited exemptions and optional five-year instalments for certain cross-border moves.
CFC rules: Yes CFC rules (§ 54³, ATAD): profits of a foreign entity or PE controlled (>50% votes, capital or profit entitlement) may be attributed to an Estonian resident company when linked to ostensible arrangements aimed at a tax advantage; small-profit exemption below EUR 750,000 profit and EUR 75,000 other income.
Nomad regime: Digital Nomad Visa (no separate income tax holiday; standard resident rules apply if tax resident). e-Residency supports remote company formation but is not a tax residency status.

EMTA tax rates (accessed Oct 9, 2026) 2026 PIT 22%, social tax 33%, unemployment 1.6%/0.8%, CIT 22/78, VAT 24%
EMTA VAT standard rate (accessed Oct 9, 2026) 24% standard VAT from 1 July 2025
Ministry of Finance — double taxation agreements (accessed Oct 9, 2026) 66 agreements in force (list updated April 2026)
EMTA taxation of dividends (accessed Oct 9, 2026) No Estonian WHT on dividends from 2025 except transitional 14/86 pool
PwC Estonia Tax Summary (accessed Oct 9, 2026) Cross-check PIT, CIT deferral, WHT, social charges, residency

Oct 9, 2026
- Brackets updated
- Special regimes updated
verified against EMTA and MoF; `verified` 2026-10-09; `treaty_count` 61→66; `dividend_withholding_rate` 7→0; `has_exit_tax` false→true; bracket `data_year` 2025→2026; refreshed sources and prose (CFC, exit tax, residency, nomad, filing) (https://emta.ee/en/private-client/taxes-and-payment/declaration-income/tax-rates) Source

AL Albania Unique Permit for Digital Mobile Workers	$610/mo
EC Ecuador Digital Nomad Visa (Visa Nómada)	$1,446/mo
ME Montenegro Digital Nomad Residence Permit	$1,460/mo
MU Mauritius Premium Visa	$1,500/mo

GE Georgia Small Business Status (1% Tax)	1%
JE Jersey High Value Resident (HVR)	1%
UZ Uzbekistan IT Park Resident Status	1%
SO Somalia Presumptive Tax Regime (PTR)	1.5%