Calculation and refund of VAT

Here you can read about the calculation of VAT, recalculation of partially deducted VAT and refund of VAT to both Estonian taxable persons and foreign economic operators. Estonian VAT payers have the right to request a refund of VAT on goods and services acquired in other Member States which they use for taxable supply in Estonia. In certain cases, it is also possible to apply for a refund of VAT from third countries.

 Useful links

Value Added Tax ActVAT Refund Contact Points

Handbook “Calculation and refund of VAT”

""

1 | 1

    Keeping records of the use of the car

    A taxable person who applies the aforementioned exceptions and has fully deducted the input VAT on the car and related expenses must ensure that the use of the passenger car in question for non-business rides is not possible and may continue to keep records of the use of the car.

    The entrepreneur decides which way to keep records – the goal is to ensure that the entrepreneur's passenger car is used only for business purposes. For example, an entrepreneur can, among other things, keep a detailed record, i.e., a driving log, or use a GPS service provided by a third party. 

    In general, a car used exclusively for business purposes should be parked at the company during non-working hours.

    The company must decide:

    • how a car is used,
    • how such use is secured, and
    • how it is possible to check the use of the car both by the management and the tax authority.

    Last updated on 08.01.2025

    business client

    Last updated: 05.11.2025

    Was this page helpful?

    * Fields marked with an asterisk (*) are required.

    If you wish an answer, write your e-mail address.