- Estonia proposes tax reforms to strengthen fiscal system and reduce fraud by eliminating the 1000 euro threshold for transaction declarations and mandating e-invoicing for business operations starting 2027
- Estonia has the lowest GDP among Baltic states at 42.7 billion euros but maintains better unemployment rates at 7.6 percent compared to Sweden, Finland and Spain
- The tax reform includes increasing corporate and personal income tax withholding rates to 22 percent and raising normal VAT to 24 percent effective this month
- Companies can require e-invoices from suppliers starting July 2025 under approved Accounting Act amendments to streamline processes and reduce administrative burdens
- These changes are part of Estonia’s broader digitization plan for fiscal administration, following similar electronic invoicing trends in countries like Mexico and Costa Rica
Source: auxadi.com
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.
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