käibemaksukohustuslasena

Käibemaksukohustuslasena refers to a business or individual registered as a taxpayer for value-added tax (VAT) in Estonia. This means they are legally obligated to charge VAT on their taxable goods and services, collect it from their customers, and remit it to the Estonian Tax and Customs Board.

Registration as a käibemaksukohustuslane is typically required when a business's taxable turnover exceeds a certain threshold within a calendar year, which is currently €40,000. Once registered, they are issued a VAT identification number.

Businesses operating as käibemaksukohustuslased must issue VAT-inclusive invoices to their customers. They are also entitled to deduct the VAT they have paid on their own business purchases (input VAT) from the VAT they collect from their customers (output VAT). The difference is what they pay to the state. Regular VAT returns must be filed, detailing the output and input VAT for the reporting period. Failure to comply with these obligations can result in penalties and interest. The status of käibemaksukohustuslane impacts a business's pricing, accounting, and reporting requirements significantly.