Käibemaksuregister

Käibemaksuregister, often translated as the Value Added Tax (VAT) Register, is a crucial component of Estonia's tax system. It serves as the official list of businesses that are registered for the collection and payment of Value Added Tax. In Estonia, businesses generally must register for VAT if their turnover exceeds a certain threshold within a 12-month period. The current threshold for mandatory VAT registration is 40,000 euros in taxable turnover.

Registration in the Käibemaksuregister is a prerequisite for businesses to legally charge VAT on their goods and services and to reclaim input VAT paid on their purchases. The Estonian Tax and Customs Board (Maksu- ja Tolliamet) manages and maintains this register. Businesses that are registered are issued a VAT identification number, which must be used on invoices and in other official business dealings related to VAT.

Voluntary VAT registration is also possible for businesses below the turnover threshold, which can be advantageous if a significant portion of their expenses are subject to VAT, allowing them to reclaim that VAT. The register ensures transparency and compliance within the VAT system, aiding in the collection of state revenue and preventing tax evasion. Businesses are required to submit regular VAT returns detailing their taxable sales and purchases.