As of 1 January 2005 Estonia has a new income tax rate of 24% and a basic exemption of 1700 EEK per month.

According to Article 4 of the EU Parent-Subsidiary Directive (90/435/EC) on the common system of taxation applicable to parent companies and subsidiaries of different EU member states, member states must: (i) refrain from taxing (ie, the exemption method); or (ii) authorize the parent company to deduct from the amount of tax the amount of corporation tax paid by the subsidiary (ie, the credit method).

On 14 May 2024, the VAT in the Digital Age ("ViDA") Package was considered during a meeting of the EU's Economic and Financial Affairs Council (ECOFIN).

Corporate taxation operates within complex legal and economic ecosystems where businesses evaluate far more than tax rates when choosing where to incorporate.

Basic tax exemption represents the part of income that is not subject to income tax. Estonia applies different basic exemption rates on citizens that have reached the pensionable age and to those who are to reach it within a year.

Value Added Tax (VAT) is a consumption tax imposed by the state, paid by persons registered as VAT liable, either due to meeting the liability threshold or voluntarily registering.

On 15 February 2007, Estonian parliament (in Estonian <I>Riigikogu</I>) made amendments to the Taxation Act. Among other amendments, a new advance ruling institution was introduced into legislation. Request for an advance ruling from a tax authority will be made available on 1 January 2008

Transfer prices mean the prices of goods and services between transactions with parent companies and subsidiaries or so-called associated companies.

Resident natural persons submit income tax returns on their income received during the previous calendar year.

On 1 January 2009, the transition period granted to Estonia for harmonising the Income Tax Act with the EU Parent-Subsidiary Directive will come to an end.

Georgian tax legislation envisages five national taxes (Personal Income Tax, Corporate Tax, Value Added Tax, Excise Tax and Import Tax) and one local tax (Property Tax). There is no social security, wealth.