Coronavirus Tax relief

No interest will be charged on tax arrears in Estonia until May 1, 2020

Crowe DNW

Estonian Tax and Customs Board announced on March 18, 2020 that late payment interest will not be charged during state of emergency from March 1 to May 1, 2020. The companies in financial difficulties should present application for paying tax arrears in instalments. 

Taxpayers can present an application via E-tax  to enable the  payment in installments over period of 12 months to reduce 50% of late interest after 3 months emergency period. 

The following conditions should be met to get automatic decision for payment in installments:

  • the total amount of tax liabilities is up to 20 000 euros:
  • the period of instalment schedule is up to 12 months;
  • all the obligatory tax returns are submitted;
  • there are no valid instalment schedules or court approved compromise schedules;
  • you have neither unpaid fines nor penalty payments imposed by the Estonian Tax and Customs Board and there are no overdue public claims (fine, penalty payment, pecuniary punishment, procedure expenses) arisen as the result of judicial proceedings;
  • no bankruptcy, liquidation or restructuring proceedings have been initiated against the applicant;
  • there is no solidary obligation (i.e. tax arrears to be jointly paid by several persons);
  • there are no disputes on any tax liabilities;
  • tax arrears have not been handed over to the bailiff for compulsory execution;
  • there are no instalment schedules which have been declared invalid within the last six months.
More information in Tax authority website
How to pay tax arrears in installments