VAT (käibemaks)
What käibemaks is: Estonian value added tax, its rates from 01.07.2025, the 40 000 euro registration threshold and the monthly KMD return.
Law as of 30 Sept 2026. General information, not advice for your situation.
Käibemaks is the Estonian word for value added tax (VAT). It is a tax on the supply of goods and services, charged by a registered business on its sales and paid to the Tax and Customs Board (EMTA, Maksu- ja Tolliamet). A registered business deducts the VAT on its own business purchases, so in the end the final consumer bears the tax. The VAT Act (Käibemaksuseadus, KMS) applies the EU VAT Directive in Estonia.
Key facts
| Fact | Value | Source |
|---|---|---|
| Standard rate | 24 percent for a tax point on or after 01.07.2025 (22 percent from 01.01.2024 to 30.06.2025, 20 percent before) | KMS § 15 (1) |
| Accommodation | 13 percent from 01.01.2025 (9 percent before) | KMS § 15 (1^1) |
| Reduced rate | 9 percent: books and study literature, listed medicines and medical goods, press publications | KMS § 15 (2) |
| Zero rate | 0 percent: for example exported goods and intra-Community supplies of goods | KMS § 15 (3), (4) |
| Registration threshold | Turnover in Estonia above 40 000 euros, counted from 1 January | KMS § 19 (1) |
| Return | KMD and its annex KMD INF, monthly, by the 20th of the next month | KMS § 27 (1) |
The rate follows the tax point
The rate is the one in force at the tax point of the supply: the delivery, the performance of the service, or an earlier payment (KMS § 11). It is not the rate of the invoice date. A credit note for a sale made in May 2025 still uses 22 percent (KMS § 29 (13)). The 24 percent rate has no end date: the act that repealed the Security Tax Act also removed its planned return to 22 percent (RT I, 08.07.2025, 1). The history of each rate is on Estonian VAT rates, and the VAT calculator picks the rate by date.
Registration
A company must apply within 3 working days after its turnover passes 40 000 euros, and it is liable from the day it passed the threshold (KMS § 20). It may also register earlier by choice. The guide on VAT registration explains which sales count.
The monthly return
A registered company files the KMD (käibedeklaratsioon) for each calendar month by the 20th of the next month, with the KMD INF annex, and pays the VAT by the same day (KMS § 27 (1), § 38 (1)). A deadline on a weekend or a public holiday moves to the next working day. The tax calendar shows the real date for each month of last year, this year and next year, and the guide on VAT deduction, invoices and returns covers the monthly work.
General information, not advice for your situation. The law as in force on 30.09.2026.
Sources
Related pages
- Estonian VAT rates
The Estonian VAT rates: 24% standard, 13% accommodation, 9% books, medicines and press, 0% exports, with their dates since 2024 and what each applies to.
- VAT registration in Estonia
When an Estonian company must or may register for VAT, the 40 000 euro threshold, limited registration, deregistration and VAT groups.
- Input VAT, invoices, credit notes and the VAT return in Estonia
What an Estonian VAT invoice must show, when input VAT is deductible, how credit notes and prepayments work, and how to file and correct the KMD.
- VAT on cross-border services, digital sales and the OSS
How an Estonian company charges VAT on services to EU and non-EU customers, checks VAT numbers in VIES, and uses the OSS and IOSS for B2C sales.
- Estonian VAT calculator
Add VAT to a net price or take it out of a gross price at the Estonian rate of the date: 24, 22 or 20 percent standard, 13 percent accommodation, 9 percent reduced.
- Estonian tax calendar
The real due dates of the Estonian TSD, KMD and KMD INF for each month, moved past weekends and public holidays, and the annual report deadline.
Reviewed on 10 Oct 2026. Law as of 30 Sept 2026. General information, not advice for your situation.