In Estonia VAT is applied by a standard 18% rate, thus considerably affecting the costs incurred by your company for any occasional business carried out within the Estonian territory. Such costs may be reduced by recovering the VAT paid.
Indeed, foreign companies residing in a EU country – if subject to VAT in their own country – are entitled to refer to Estonian Tax Authority to recover the VAT paid on expenses such as:
1. booth rental and furnishings for participation in trade shows,
2. other trade show-related expenses such as electricity, air and water supply, flowers, booth attendants and interpreters,
3. participation fees for training courses or conferences,
4. advice fees,
5. oil and toll costs for International Transportation Companies,
6. accommodation expenses
In order to claim Estonian VAT refund, you shall send us:
1. All the original Invoices displaying Estonian VAT. No receipts or other documents may be accepted.
2. A Copy of a Recent Certificate issued by the relevant Tax Authority of your EU country of residence, stating that your company is registered there for local VAT payment. (Ask for a sample form)
A special Letter of Authority which you should print on your headed paper and sign, by which you authorise us to prepare and submit your claim for refund on your behalf. (Ask for a Proxy form)
Claims may solely be submitted on a yearly, six-monthly or quarterly basis. Refund claims for a total value inferior to € 300.00 will be rejected.
We shall receive all the documents necessary for the submission of your request by 31st August of the year following the invoice date. The refund claim, as a matter of fact, must be submitted to the relevant Tax Authority by 30th September of the year following the invoice date.
Please Note: Any claims submitted after this terms shall be rejected as not acceptable;
The competent Tax Authority shall pay the refund no later than 6 months from the date the claim is submitted, by way of a direct bank transfer to the account held by the applicant.
No Estonian VAT refund will be paid on the following services:
– Goods and services unrelated to the company business
– Goods and services used for activities that are exempt according to Estonian Tax Laws
– Purchase or hire of passenger motor vehicles
– Entertainment expenses.
Our tariff for VAT Recovery in ESTONIA is based on the amount of refunded VAT, contact us to know it.