VAT in Estonia

Value Added Tax in Estonia is also known as "Käibemaks” (KM), in the local language.

What are the VAT rates in Estonia?

The VAT rates applicable in Estonia are:

• Standard Rate: 20%.
• Reduced Rates: 9% and 5%

The reduced VAT rate will only be applied to specific products covered by the VAT Directive.

VAT rates in Estonia by product and service

The standard VAT rate is 20%. Also, the standard VAT rate will generally apply to all goods and services for which no exemption or reduced VAT rate is provided.

The reduced VAT rate is 9%. This reduced rate applies to certain pharmaceuticals and medical equipment, books and publications with educational content, hotel accommodation, as well as the supply of goods by organizations recognized as being committed to social welfare.

Supplies at the 0% VAT rate are general supplies, such as exports, intra-Community supplies, services related to the export of goods, international transport of persons, as well as financial services and insurance provided to customers established outside the EU.

Finally, some supplies are exempt from VAT, such as health and social care, educational and cultural activities, sports, financial and insurance transactions, and real estate exemptions.

To confirm the VAT rate applicable to a particular product or service in Estonia, we recommend that you contact us.

• Foodstuff
  20% and 9%
• Water supplies
  20%
• Pharmaceutical products
  20% and 9%
• Medical equipment for disabled persons
  20% and 9%
• Children´s car seats
  20%
• Passenger transport
  20%
• Books
  9%
• Books on other physical means of support
  9%
• Newspapers
  5% for press publications, both on a physical medium and electronically, excluding publications containing mainly advertising or private advertisements or mainly with erotic or pornographic content or video or music content.
• Periodicals
  9%
• Admission to cultural services (theatre, etc)
  20%
• Admission to amusement parks
  20%
• Pay TV / cable
  20%
• TV licenses
  20%
• Writers / composers
  20%
• Hotel Accommodation
   9%
• Restaurant and catering services
  20%
• Restaurants
  20%
• Medical and dental care
  Exempt and 20%
• Repair of shoes and leather goods
  20%
• Repair of clothing and household linen
  20%
• Hairdressing
  20%