Maksulangetuste

Maksulangetuste (Estonian for tax payment installments) are arrangements with the Estonian Tax and Customs Board (Maksu- ja Tolliamet, MTA) to settle tax liabilities over time. They are designed to help taxpayers who cannot pay their full tax debt by the due date by providing a feasible repayment schedule, reducing the risk of immediate enforcement actions, and ensuring continued compliance.

Eligibility and purpose

A taxpayer may seek a maksulangetus when paying the full amount on time is not possible. The MTA typically requires information about the debtor’s income, assets, and monthly expenses to assess the ability to pay and to determine an appropriate repayment plan. The goal is to establish a realistic schedule that allows the debt to be repaid without creating undue financial hardship.

Application and terms

Requests are usually submitted through the tax authority’s channels, often including financial statements and a proposed payment plan. If approved, the MTA issues a formal agreement detailing the amount, frequency, and duration of installments. The plan may cover various tax liabilities, such as overdue taxes, penalties, and interest. In many cases, interest continues to accrue on the remaining debt, and penalties may be adjusted or suspended for the duration of the plan. Non-compliance with the installment schedule can lead to the plan being cancelled and to enforcement actions.

Duration and effects

The length of a maksulangetus depends on the total debt and the taxpayer’s ability to pay, ranging from several months to multiple years. Successful completion of the plan typically results in the full settlement of the agreed debt, while missed payments can terminate the arrangement and trigger collection measures.

Overview

Maksulangetuste provide a structured, negotiated approach to debt repayment, balancing the taxpayer’s ability to pay with the tax authority’s need to recover liabilities. Specific rules vary by case and over time, so applicants are advised to consult the MTA for current guidance.