Estonia | Higher VAT registration threshold for small businesses

In February 2017, we announced that Estonia had requested an authorisation to raise its VAT registration threshold from EUR 18,000 to EUR 40,000.

Following up to the request, the Council of the European Union has given the go ahead to Estonia’s government to increase its VAT registration threshold for small business to EUR 40,000 in turnover.

Estonia will be allowed to apply the new threshold starting from 1 January 2018, the end date being the first of either 31 December 2020 or the date when a new directive amending the currently applicable thresholds will enter into force.