Share this post on

Estonia Blocks EU VAT Plan for Digital Platforms, Citing Unfair Tax Burden on Small Businesses

  • Estonia vetoed EU plan to add VAT on digital platforms
  • Proposal aimed to make platform services register to pay VAT
  • Could have increased cost of online rental and ridesharing by 25%
  • Estonia’s Tax Board to compare platform data against tax returns
  • Majority of platform users in Estonia have turnover under €40,000
  • Government sees proposal as a tax on small and medium-sized enterprises
  • Estonia believes tax authorities can already identify VAT evasion
  • Bolt also opposes changes, citing impact on small businesses
  • EU politicians aim to reach agreement by end of June
  • Estonia supports other parts of the package, including digital reporting and VAT registration in one place.


Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.


VAT news


  • vatcomsult