Intragroup loans can bring about tax liability Sep 18

The new version of the Income Tax Act, which stipulates important amendments concerning the taxation and declaration of loans given to the shareholders or members of commercial undertakings, will enter into force on 1 January 2018. The new provisions will regulate concealed distribution of profits, intragroup loans being one way of doing this.

Read more ›

Transporting contractual employees to work no longer subject to tax as of August 2017 Aug 31

An amendment to the Income Tax Act will enter into force as of 1 August 2017, pursuant to which the employer’s business-related expenses made for transporting an employee who works on the basis of an employment contract between their place of residence and workplace will not be deemed to be a fringe benefit if the employee’s place of residence is located at least 50 km from the workplace or if the employer organises transport with a vehicle that has at least eight seats or a bus for the purposes of the Traffic Act.

Read more ›

Changes in fringe benefits as of 1 July 2017 Aug 16

Just before the start of its summer holidays, the Riigikogu passed the Act on Amendments to the Income Tax Act and Related Acts, which will enter into force partially from 1 August 2017 and partially from 1 January 2018. Some of the amendments that are more favourable for taxpayers will be implemented retroactively from 1 July 2017.

Read more ›

Sickness benefit can now also be paid for the second and third days of sickness without social tax obligation Aug 01

The Act on Amendments to the Income Tax Act and Social Tax Act that entered into force at the start of 2017 made it possible for the employer to also pay benefits for the second and third days of sickness on the basis of a sick leave certificate without social tax liability in the amount of up to 100 per cent of the employee’s average wages.

Read more ›

Covering the accommodation expenses of employees will not be a fringe benefit in the future Jun 21

The draft act for amendment of the Income Tax Act, Value Added Tax Act and Traffic Act, which is aimed at reducing the taxes payable by entrepreneurs in case they cannot find qualified workforce near their location and therefore want to transport workers from further away or cover their accommodation expenses in relation to everyday employment relationships, will be up for the second reading in the Riigikogu.

Read more ›

Taxation of cars changes as of 1 January 2018 Jun 07

Read more ›

Look up does your company have an obligation for an audit or audit overview May 31

There are new conditions for audit obligation starting from year 2016. They apply for annual reports that start 01.01.2016 or later. For previous ones, old conditions apply.
Read more ›

Conditions of entering into employment contracts with minors set to change May 18

The Act Amending the Employment Contracts Act presented to the President for approval on 13 April amends the procedure for employing minors so as to ensure the protection of their health. At the same time, the new organisation of working time provides minors with an opportunity to participate more actively in working life during school holidays.

Read more ›
: