Käibemäär

Käibemäär refers to the turnover or revenue of a business. It represents the total value of goods sold and services rendered over a specific period, typically a fiscal year or quarter. Käibemäär is a crucial financial metric used to assess the economic performance and size of a company. It is calculated by summing up all sales income before deducting any expenses.

In Estonia, käibemäär is also the basis for determining Value Added Tax (VAT) obligations. Businesses exceeding a certain annual käibemäär threshold are required to register as VAT payers and charge VAT on their taxable supplies. This threshold is periodically reviewed and updated by the Estonian Tax and Customs Board.

Understanding käibemäär is essential for various stakeholders. For businesses, it helps in tracking growth, setting sales targets, and comparing performance against competitors. For investors, it provides an indication of market demand and the company's ability to generate sales. For tax authorities, it serves as a basis for tax collection and economic analysis. A consistent increase in käibemäär generally signifies a healthy and expanding business.