Income tax, social tax, unemployment insurance premiums and funded pension payments have to be withheld, paid, declared (form TSD) and transferred to the Estonian Tax and Customs Board by the 10th of every month, following the month of payment
Tax should be withheld on payments made in January and transferred and declared to the Estonian Tax and Customs Board by February 10.
A sole proprietor submits form TSD and issues a certificate on form TSM only in case he or she has made concerning payments.
Form TSD is submitted by a non-resident with a permanent establishment or operating as an employer in Estonia who makes taxable payments to a natural person or non-resident.
To improve tax discipline of taxpayers, the Estonian Tax and Customs Board notifies taxpayers about the coming tax return submission date. A notifying e-mail will be sent before the submission date of form TSD (declaration of income and social tax, unemployment insurance premiums and contributions to mandatory funded pension) and form KMD (VAT return) to all taxpayers who have been late with submitting at least one tax return during the previous six months. A notifying e-mail will also be sent to all taxpayers who has been registered in the VAT register during the previous six months.