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Parliament Considers Bill to Raise VAT and Income Tax Rates Starting in 2026

  • Estonia’s Parliament is reviewing a bill proposing permanent VAT and income tax increases, with most changes set to take effect from January 1, 2026.

  • The standard VAT rate would permanently increase from 22% to 24% starting July 1, 2025, as part of broader fiscal consolidation efforts.

Source: GVC

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