Yes, you are correct. Greece will tax your Estonian-registered company as a Greek company since you manage the company from Greece.
Hmm, seems risky, even with a virtual office, if I still live in Greece and manage the company here, won't the Estonian company be considered a tax resident of Greece?
It's a corporate income tax, not a withholding tax. Your math is wrong.
You really pay 20% on 100, then you can pay out 80 without any withholding tax.
The only difference is that the payment of those 20% is deferred.
Example
An e-resident has established an Estonian company, whose activity is in Estonia and has received the Estonian profit of 1000 euros in year 2017 and 500 euros in 2018.
Income tax is not paid in 2017 and 2018, since the profit is not taken out. In 2019, dividends in the amount of 1200 euros are distributed to the e-resident owner.
Income tax of 300 euros, calculated as 1200 × 20 ÷ 80, has to be paid by the company in the month following the dividend payment in 2019.
The e-resident receives dividends in the amount of 1200 euros, no income tax will be withheld.
Because withholding tax would be subtracted from the dividends you pay out.
You're just mixing up things. When you pay out 1200 in dividends, you receive 1200 in dividends. No tax is paid on the dividends.
you don't always want to blind trust what is posted public. Information found here can be a guideline or a clue to where to look.Wish I had seen this nonsense post earlier. Everything in this post is completely wrong information. Should be a reminder to everyone to always check with licensed lawyers.
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