about estonian e-residency

[dotbloup]

For your information at the beginning of year 2016, the Leapin team from Estonia and Attorneys in Estonia told me it will be soon be possible to open a bank account in Estonia, however still today it is not possible. However, an Estonian company without Estonian bank account is useless.

Fyi, there is a 10% withholding tax on royalties paid to an non EU company.

profit Distribution is taxed at 20%

I actually didn't know all of that... I am now so happy this happened like this because i discovered that Cyprus was so much more interesting from taxation point of view.

 

[negon]

I actually didn't know all of that... I am now so happy this happened like this because i discovered that Cyprus was so much more interesting from taxation point of view.

I would say it depends on how you structure your company in Cyprus i.e. holding company constalation, non resident and various other options make it more compiling to register a company in Cyprus compared to most other European countries.

 

[dotbloup]

As i am writing this post. I have mentioned to my virtual office that i have liquidated my Estonian company. They mentioned that Swedbank would have been a better bank. However, i have been to Swedbank while i was in Estonia and that was not better. In fact, the Bank representative was lost with my passport (however it is in english and there is the same information everywhere.

So, i understood the Estonian banks were not like Latvian banks. Estonian banks are not foreigner friendly & a company without a bank is useless. Anyways a share capital of 2500 euros has to be deposited on an Estonian bank for this to work.

 

[dotbloup]

I would say it depends on how you structure your company in Cyprus i.e. holding company constalation, non resident and various other options make it more compiling to register a company in Cyprus compared to most other European countries.

For a one person online business owner
In Cyprus, your profit are taxed, so you can use expenses to lower your taxes.
In Estonia, your dividends are taxed, so you can't do anything to lower your taxes. you will always pay 20% of tax

 

[negon]

For a one person online business owner
In Cyprus, your profit are taxed, so you can use expenses to lower your taxes.
In Estonia, your dividends are taxed, so you can't do anything to lower your taxes. you will always pay 20% of tax

Good to know. I would never go and register a company in Estonia as long as their tax regulations are like that. Cyprus starts at a tax rate of 12,5% you can use expenses to lower the tax even more. Otherwise you register the Cyprus company offshore and screw the tax totally, that means you can't register for VAT nor can you make use of double tax treaties.

 

[JohnSeed]

I only heard the best about Estonia when it comes to banking but after reading this thread I will have to reconsider it!

 

[adoffshore]

5. Virtual office + full accounting for it consultant (means 3 transactions a month) => 1500 dollars per year on average

3 transaction per month is nothing no company will be able to only have 3 transactions. Does it mean that if you have 6 trx per month you charge 3000 dollars per year ?

 

[dotbloup]

In fact,
I would like to pinpoint the advantages of Estonian E-residency. It is not black & white type of situation. i should also talk about the positive aspects.

Don't forget that thanks to the Estonian E-residency you can:

• Do your know bookkeeping without 3rd parties to get involved. So you have the maximum of anonymity
• You can liquidate a company online without paying liquidator
• You don't need any contract for a secretary
• There is no Tax audit and the Threshold for an audit is really high.
• You can declare all the tax online with the E-residency card (Dividends, Royalties) yourself with no 3rd party involved
• You can declare the annual financial statements yourself thanks to the E-residency card.
• You don't need to sign any power of Attorney.
• You can create a pool of companies online.

Rather than hiring people that you can't trust. You can have people close to you in your own country (an accountant for instance) who can do the job for you.

Consequently you have FULL control on the company.

 

[icecold]

One of the best threads I have read about Estonia e-residency!

 

[myhand]

This is somehow interesting I will have to do research on this topic! Someone know a lawyer or CPA in Estonia that may not charge too much for stupid noob questions?

 

[suzy]

That was a lot of reading but indeed good information for someone considering an Estonian e-residency.

 

[bonox]

If someone consider the Estonian e-residency it seems that it's an good idea to consult some professional in Estonia i.e. lawyer or CPA in order to get clear information that is valid and trust worthy. For me it looks like there is an opportunity here to make business and pay low tax regardless where in the world you may be resident or actually located.

 

[hungryit]

No there is no restrictions on pornography. you just need to put a legal message like "forbidden to minors"

open it in Chrome for translation.

Pornograafilise sisuga ja vägivalda või julmust propageerivate teoste leviku reguleerimise seadus – Riigi Teataja

I know this issue pretty well because i have myself adult websites and i wanted to incorporate a company in Bulgaria. Then, i have discovered at the last moment that Pornography was illegal in Bulgaria.

Most countries have no problems with P**N but the banks have!

 

[brutalzorn]

Does anyone got this Estonia e-residency already? I would like to know much more about it please.

 

[hiju]

Is there anyone on this forum that actually is registered with e-residency in Estonia? I would like to chat with that person please.

 

[hiju]

Thanks Mate, do you know is there is any bank there that accept this business?

Did you get a bank account / answer to your questions?

 

[sirjones]

I read all through this thread but my English is not that good that I understand all details clear. Can you in short explain is this something that we would like to do or is it something we don't want to enter into because of XYZ?

 

[sirjones]

Is there anyone on this forum that actually is registered with e-residency in Estonia? I would like to chat with that person please.

That's interesting to know too... for me it sounds like a second citizen ship that is cheaper and faster compared to passports and so?

 

[brutalzorn]

If you read the entire thread you may read there are strings attached to this e-residency!

 

[hiju]

If you read the entire thread you may read there are strings attached to this e-residency!

agree, but it is worth to have a closer look at. This seems to me to be a great alternative to legal tax freedom