Taxation of services

Here we give an overview of the place of supply of services, taxation of domestic transactions and acts, export and import of services, intra-Community supply and acquisition.

Taxation of services is regulated by §§ 10 and 15 of the Value Added Tax Act.

Handbook “Taxation of services”

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    The concept of service

    According to the Value-Added Tax Act (VAT Act), things, livestock, gas, electric power, heat and refrigeration are goods. The supply of services is any other transaction other than the transfer of goods in the course of business.

    According to clause 3 of subsection 3 of § 2 of the Value-Added Tax Act, services are the provision of benefits in the course of business or the transfer of rights (including securities which are not goods) and obligations to refrain from economic activity, to waive the exercise of a right or to tolerate a situation for a charge. Software and information transmitted by electronic means, and data media carrying software or information that are especially compiled or adjusted according to the purchaser’s specifications are also services.

    For example, construction, rental of goods, patents, obligation to do something, obligation not to do something, as well as brokering of goods in the name or at the expense of another person are regarded as a service. As a general rule, packing of goods is also considered a service even if the supplier makes the necessary packaging. The lease of goods is the sale of a service. If the lessee becomes the owner of the leased object under the contract at the end of the lease period, it is considered sale of the goods.

    The provision of services free of charge by a taxable person liable to value added tax (hereinafter the taxable person) to an employee, servant or member of a management or control body is also deemed to be provision of services. The use of goods belonging to the assets used in business by a taxable person or an employee, servant or member of the management or control body of a taxable person for private purposes or for other purposes not related to business is also deemed to be a service. The provision of services in the aforementioned cases is taxed as self-supply. The service of using goods is considered as taxable self-supply if the taxable person has deducted the input VAT of these goods from its VAT (subsection 6 of § 2 of the VAT Act).

    Last updated on 08.01.2025

    ABBREVIATIONS:
    VAT Act – Value-Added Tax Act
    MS – Member State
    KMD – VAT return
    VD – report on intra-Community supply
    EU – European Union

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Services where the place of supply is determined according to so-called basic rule

    Subsection 1 § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of the location of the recipient of the service (subsection 1 of § 10)

    24%    		 Estonia – country of the location of the provider of the service (subsection 1 of § 10)

    24%    		 Country of the location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of the location of the provider of the service (subsection 1 of § 10)

    24%    		 Country of the location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)

    Estonia – country of the location of the provider of the service (subsection 1 of § 10)
    except services listed in subsection 5 of § 10

    24%
    KMD: fields 1, 4. KMD: fields 1, 4. KMD: fields 3, 3.1. KMD: fields 1, 4. KMD: field 3. KMD: fields 1, 4.
    VD: – VD: – VD: + VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Service connected with an immovable located in Estonia (construction, building and assembly works, incl. repair and maintenance works etc.)

    Clause 1 of subsection 2 of § 10
    of the VAT Act    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%    		 Estonia
    (clause 1 of subsection 2 of § 10)
    24%
    Accommodation in Estonia 13%
    (subsection 11 of § 15)    		 13%
    (subsection 11 of § 15)    		 13%
    (subsection 11 of § 15)    		 13%
    (subsection 11 of § 15)    		 13%
    (subsection 11 of § 15)    		 13%
    (subsection 11 of § 15)
    Rent, lease in Estonia

    Clause 2 of subsection 2 of § 16
    of the VAT Act

    (option for taxation with 24% VAT rate, if not a dwelling)
    Clause 1 of subsection 3 of § 16 of the VAT Act    		 Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT
    KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen    		 KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen    		 KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen    		 KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen    		 KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen    		 KMD: fields 1, 4;
    accommodation fields 22, 4;
    rent, lease field 8, if option for taxation was not chosen
    VD: – VD: – VD: – VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Service connected with an immovable located in a foreign country (accommodation; construction, building and assembly works, incl. repair and maintenance works etc.)

    Clause 1 of subsection 4 of § 10
    of the VAT Act    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *

    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *

    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *

    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *

    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *

    		 Country where the immovable is located
    (clause 1 of subsection 4 of § 10)

    Registration obligation, VAT rate of the country where the immovable is located *
    VD: – VD: – VD: – VD: – VD: – VD: –
    Rent and lease of an immovable in a foreign country Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia

    As a rule, if an Estonian taxable person provides services connected with an immovable located in a foreign country, the person must register for VAT liability in that foreign country. The declaration of the supply with 0% VAT rate in Estonia (*) is possible only if there is no registration obligation in the foreign country where the immovable is located or if the service is provided to a taxable person of the country where the immovable is located and the reverse charge system can be used. The provision of rent and lease services is considered tax exempt supply of a foreign country which is not declared in Estonia.

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Cultural, artistic, sporting, scientific or entertainment services or services connected with trade fairs or exhibitions provided in Estonia; the organisation of the related events and provision of ancillary services Estonia – country of location of the recipient of the service (subsection 1 of § 10)


    24%    		 Estonia – country of location of the provider of the service (clause 2 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 2 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 2 of subsection 2 of § 10)

    24%
    Educational service provided in Estonia:
    pre-school, basic, vocational or higher education    		 Educational training is exempt from VAT (clause 6 of subsection 1 of § 16) Educational training is exempt from VAT (clause 6 of subsection 1 of § 16) Educational training is exempt from VAT (clause 6 of subsection 1 of § 16) Educational training is exempt from VAT (clause 6 of subsection 1 of § 16) Educational training is exempt from VAT (clause 6 of subsection 1 of § 16) Educational training is exempt from VAT (clause 6 of subsection 1 of § 16)

    Entrance services provided in Estonia and ancillary services related to entrance services

    Subsection 1 of § 10,
    clause 21 of subsection 2 of § 10
    of the VAT Act

    		 Estonia (subsection 1 of § 10)
    24%    		 Estonia (subsection 1 of § 10)
    24%    		 Estonia (clause 21 of subsection 2 of § 10)
    24%    		 Estonia (subsection 1 of § 10)
    24%    		 Estonia (clause 21 of subsection 2 of § 10)
    24%    		 Estonia (subsection 1 of § 10)
    24%
    KMD: fields 1, 4;


    educational training field 8    		 KMD: fields 1, 4;


    educational training field 8    		 KMD: fields 3, 3.1;
    entrance service fields 1, 4

    educational training field 8    		 KMD: fields
    1, 4


    educational training field 8    		 KMD: field 3;
    entrance service fields 1, 4

    educational training field 8    		 KMD: fields
    1, 4;


    educational training field 8
    VD: – VD: – VD: + (service with 0% VAT rate) VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Cultural, artistic, sporting, scientific or entertainment services or services connected with trade fairs or exhibitions are provided in a foreign country; the organisation of the related events and provision of ancillary services

    Subsection 1 of § 10,
    clause 2 of subsection 4 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%

    Country where the event takes place

    (clause 2 of subsection 4 of § 10)
    0% (clause 1 of subsection 4 of § 15)

    		 Country of location of the recipient of the service

    (clause 9 of subsection 4 of § 10),
    0% (clause 1 of subsection 4 of § 15)    		 Country where the event takes place

    (clause 2 of subsection 4 of § 10)
    0% (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service

    (clause 9 of subsection 4 of § 10),
    0% (clause 1 of subsection 4 of § 15)    		 Country where the event takes place

    (clause 2 of subsection 4 of § 10)
    0% (clause 1 of subsection 4 of § 15)
    KMD: fields 1, 4 KMD: field 3 KMD: fields 3, 3.1 KMD: field 3 KMD: field 3 KMD: field 3
    VD: – VD: – VD: + VD: – VD: – VD: –
    Educational service which is exempt from VAT, provided in a foreign country Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia Not declared in Estonia

    The VAT rate of the service mentioned in field 1 is taxed with 0% if provided to a taxable person of other MS / to a third country person engaged in business. If the service is provided to any other person, declaration of the supply with 0% VAT rate in Estonia is possible only if there is no registration obligation in the foreign country where the event takes place. As a rule, reverse charge is not applied to entrance services.

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Passenger transport in Estonia

    Clause 3 of subsection 2 of § 10
    of the VAT Act    		 Estonia (clause 3 of subsection 2 of § 10)
    24%    		 Estonia (clause 3 of subsection 2 of § 10)
    24%    		 Estonia (clause 3 of subsection 2 of § 10)
    24%    		 Estonia (clause 3 of subsection 2 of § 10)
    24%    		 Estonia (clause 3 of subsection 2 of § 10)
    24%    		 Estonia (clause 3 of subsection 2 of § 10)
    24%

    International trip which passes through Estonia

    0%
    (clause 13 of subsection 4 of § 15)

    0%
    (clause 13 of subsection 4 of § 15)

    0%
    (clause 13 of subsection 4 of § 15)

    0%
    (clause 13 of subsection 4 of § 15)

    0%
    (clause 13 of subsection 4 of § 15)

    0%
    (clause 13 of subsection 4 of § 15)
    KMD: intra-Estonian –fields 1, 4;
    international – field 3    		 KMD: intra-Estonian –fields 1, 4;
    international – field 3    		 KMD: intra-Estonian –fields 1, 4;
    international – field 3    		 KMD: intra-Estonian –fields 1, 4;
    international – field 3    		 KMD: intra-Estonian –fields 1, 4;
    international – field 3    		 KMD: intra-Estonian –fields 1, 4;
    international – field 3
    VD: – VD: – VD: – VD: – VD: – VD: –
    Passenger transport outside Estonia, inside any other MS
    Countries don’t apply reverse charge to domestic passenger transport services    		 Country where the transport takes place, VAT rate of this country Country where the transport takes place, VAT rate of this country Country where the transport takes place, VAT rate of this country Country where the transport takes place, VAT rate of this country Country where the transport takes place, VAT rate of this country Country where the transport takes place, VAT rate of this country
    International trip outside Estonia

    Clause 4 of subsection 4 of § 10
    of the VAT Act

    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Not Estonia
    (clause 4 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)
    KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3
    VD: – VD: – VD: – VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Restaurant and catering services provided in Estonia (except on board of vessel or aircraft or in train during an international trip)

    Clause 4 of subsection 2 of § 10
    of the VAT Act    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%    		 Estonia
    (clause 4 of subsection 2 of § 10)

    24%
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4
    VD: – VD: – VD: – VD: – VD: – VD: –
    Restaurant and catering services provided outside Estonia
    (except on board of vessel or aircraft or in train during an international trip)

    Clause 51 of subsection 4 of § 10
    of the VAT Act    		 Country where the services are provided, VAT rate of this country Country where the services are provided, VAT rate of this country Country where the services are provided, VAT rate of this country Country where the services are provided, VAT rate of this country Country where the services are provided, VAT rate of this country Country where the services are provided, VAT rate of this country

    Restaurant service is a service provided in the premises of the seller; catering service is a service provided in the premises chosen by the purchaser.

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Restaurant and catering services in the territory of the EU on board of vessel or aircraft departing on an international trip from Estonia Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)    		 Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)    		 Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)    		 Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)    		 Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)    		 Estonia
    (clause 5 of subsection 2 of § 10)

    0%
    (clause 2 of subsection 4 of § 15)
    - in train

    Clause 5 of subsection 2 of § 10
    of the VAT Act    		 24% 24% 24% 24% 24% 24%
    KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4    		 KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4    		 KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4    		 KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4    		 KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4    		 KMD: vessel, aircraft – field 3,
    train – fields:
    1, 4
    VD: – VD: – VD: – VD: – VD: – VD: –
    Restaurant and catering services in the territory of EU on board of vessel or aircraft departing on an international trip from another MS

    Clause 5 of subsection 4 of § 10
    of the VAT Act    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of departure

    0%
    (clause 1 of subsection 4 of § 15)
    KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3
    VD: – VD: – VD: – VD: – VD: – VD: –
    - in train VAT rate of country of departure VAT rate of country of departure VAT rate of country of departure VAT rate of country of departure VAT rate of country of departure VAT rate of country of departure

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Work with a movable located in Estonia or valuation of it

    Subsection 1 of § 10,
    clause 7 of subsection 2 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)


    24%    		 Estonia – country of the location of the movable (clause 7 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)


    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the movable (clause 7 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)


    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the movable (clause 7 of subsection 2 of § 10)

    24%
     
         		 KMD: fields 1, 4 KMD: fields 1, 4 KMD: fields 3, 3.1 KMD: fields 1, 4 KMD: field 3 KMD: fields 1, 4
    VD: – VD: – VD: + VD: – VD: – VD: –
    Work with a movable located in a foreign country or valuation of it

    Subsection 1 of § 10,
    clause 3 of subsection 4 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%    		 Country of location of the movable
    (clause 3 of subsection 4 of § 10)

    VAT rate of the country
    of location of the movable    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the movable
    (clause 3 of subsection 4 of § 10)

    VAT rate of the country
    of location of the movable    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the movable
    (clause 3 of subsection 4 of § 10)

    VAT rate of the country
    of location of the movable
     
         		 KMD: fields 1, 4 KMD: fields 3, 3.1 KMD: field 3
    VD: – VD: + VD: –

    VAT rate of the service mentioned in field 2 (work with a movable located in a foreign country or valuation of it), is taxable with 0% if provided to a taxable person of other MS / to a third country person engaged in business. If the service is provided to any other person, declaration of the supply with 0% VAT rate in Estonia is possible only if there is no registration obligation in the foreign country of location of the movable.

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Rent of means of transport on a short-term basis (not longer than 30 days, vessels not longer than 90 days) in Estonia

    Clause 6 of subsection 2 of § 10
    of the VAT Act    		 Estonia (clause 6 of subsection 2 of § 10)

    24%

    Estonia (clause 6 of subsection 2 of § 10)

    24%

    Estonia (clause 6 of subsection 2 of § 10)

    24%

    Estonia (clause 6 of subsection 2 of § 10)

    24%

    Estonia (clause 6 of subsection 2 of § 10)

    24%

    Estonia (clause 6 of subsection 2 of § 10)

    24%
     
         		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    1, 4
    VD: – VD: – VD: – VD: – VD: – VD: –
    Rent of means of transport on a short-term basis (not longer than 30 days, vessels not longer than 90 days) in a foreign country

    Clause 41 of subsection 4 of § 10
    of the VAT Act    		 VAT rate of the country where the means of transport are rented VAT rate of the country where the means of transport are rented VAT rate of the country where the means of transport are rented VAT rate of the country where the means of transport are rented VAT rate of the country where the means of transport are rented VAT rate of the country where the means of transport are rented

    Rent of means of transport on a long-term basis (except pleasure or recreational crafts)

    Subsection 1 of § 10,
    clause 9 of subsection 4 of § 10,
    clause 61 of subsection 2 of § 10,
    clause 42 of subsection 4 of § 10
    of the VAT Act

    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%

    Estonia – country of location of the recipient of the service (clause 61 of subsection 2 of § 10,)

    24%

    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service (clause 42 of subsection 4 of § 10)

         		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service (clause 42 of subsection 4 of § 10)

     
     
         		 KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: -  KMD: field 3

    KMD: - 
    VD: – VD: – VD: + VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Intermediation service, if a transaction the place of supply of which is Estonia is mediated

    Subsection 1 of § 10,
    clause 11 of subsection 2 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%    		 Estonia – country of location of the provider of the service (clause 11 of subsection 2 of § 10,)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 11 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 11 of subsection 2 of § 10)

    24%
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    3, 3.1    		 KMD: fields
    1, 4    		 KMD: field 3 KMD: fields
    1, 4
    Clause 7 of subsection 4 of § 15 of the VAT Act – if goods specified in clauses 1, 3-6 and 10 of subsection 3 of § 15 or services specified in clauses 2-4, 6, 9, 10, 12 and 14 of subsection 4 of § 15 of the VAT Act are mediated 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act    		 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act    		 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act    		 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act    		 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act    		 0%
    In cases specified in clause 7 of subsection 4 of § 15 of the VAT Act
     
         		 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3
    VD: – VD: – VD: + (only
    according to clause 1 of subsection 4 of § 15 of the VAT Act)    		 VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Intermediation service, if a transaction the place of supply of which is any other MS (except Estonia) is mediated

    Subsection 1 of § 10,
    clause 8 of subsection 4 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%    		 Country where the supply of the mediated transaction is created
    (clause 8 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country where the supply of the mediated transaction is created
    (clause 8 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country where the supply of the mediated transaction is created
    (clause 8 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)
    KMD: fields
    1, 4    		 KMD: field 3 KMD: fields 3, 3.1 KMD: field 3 KMD: field 3 KMD: field 3
    Clause 7 of subsection 4 of § 15 of the VAT Act – if goods specified in clauses 1, 3-6 and 10 of subsection 3 of § 15 or services specified in clauses 2-4, 6, 9, 10, 12 and 14 of subsection 4 of § 15 of the VAT Act are mediated 0% 0% 0% 0% 0% 0%
    KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3
    Intermediation service, if a transaction the place of supply of which is a third country is mediated

    Clause 7 of subsection 4 of § 15
    of the VAT Act    		 0% 0% 0% 0% 0% 0%
    KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3 KMD: field 3
    VD: – VD: – VD: + (only
    according to clause 9 of subsection 4 of § 10 of the VAT Act)    		 VD: – VD: – VD: –

    VAT rate of the service mentioned in field 1, is taxable with 0% if provided to a taxable person of other MS / to a third country person engaged in business. If the service is provided to any other person, declaration of the supply with 0% VAT rate in Estonia is possible only if there is no registration obligation in the foreign country where the supply of the mediated transaction was created.

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Services listed in subsection 5 of § 10 of the VAT Act (so-called immaterial services), except digital services

    Subsection 1 of § 10,
    clause 9 of subsection 4 of § 10,
    subsection 5 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%

    Estonia – country of location of the provider of the service (subsection 1 of § 10)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)

    Estonia – country of location of the provider of the service (subsection 1 of § 10)

    24%    		 Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)    		 Country of location of the recipient of the service
    (subsection 5 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: fields
    1, 4    		 KMD: field 3 KMD: field 3

    Digital services, and cultural, artistic, sports, scientific or entertainment services provided virtually,
    or services related to an exhibition, including virtual participation in an event


    Subsection 1 of § 10, clauses 2 and 21 of subsection 2 of § 10, clauses 2 and 21 of subsection 4 of § 10,
    clause 9 of subsection 4 of § 10,
    subsection 5 of § 10,
    § 101
    of the VAT Act

    Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%

    Estonia – country of location of the recipient of the service (subsection 2 of § 101)

    24%

    Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)

    Estonia – until the limit of
    10 000 euros is exceeded; after the limit is exceeded in the MS of the recipient of the service (subsections 6 and 7 of § 101)

    24%, if the place of supply is Estonia; the tax rate of the MS of the recipient of the service and the obligation to register in the MS of the recipient or the OSS special scheme if the place of supply is the MS of the recipient of the service

    Country of location of the recipient of the service
    (clause 9 of subsection 4 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)

    Country of location of the recipient of the service
    (subsection 5 of § 10)

    0%
    (clause 1 of subsection 4 of § 15)
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: fields 1, 4 (if place of supply is Estonia) or is not declared (if place of supply is the MS of the recipient of the service) KMD: field 3 KMD: field 3
    Financial services, exempt from VAT

    Subsection 21 of § 16
    of the VAT Act    		 Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT Exempt from VAT
    KMD: field 8 KMD: field 8 KMD: field 8 KMD: field 8 KMD: field 8 KMD: field 8
    Option for taxation with 24% VAT rate (only domestic supply)

    Clause 3 of subsection 3 of § 16
    of the VAT Act    		 24% 24% Exempt from VAT 24% Exempt from VAT Exempt from VAT
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: field 8 KMD: fields
    1, 4    		 KMD: field 8
    with the right of deduction of input VAT (subsection 1 of § 29 of the VAT Act)    		 KMD: field 8
    with the right of deduction of input VAT (subsection 1 of § 29 of the VAT Act)
    Taxable financial services –
    services which are not listed in subsection 21 of § 16 of the VAT Act

    Subsection 1 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 24% 24% 0%
    (clause 1 of subsection 4 of § 15)    		 24% 0%
    (clause 1 of subsection 4 of § 15)    		 0%
    (clause 1 of subsection 4 of § 15)
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields
    3, 3.1    		 KMD: fields
    1, 4    		 KMD: field 3 KMD: field 3
    VD: – VD: – VD: + (only supply with 0% VAT rate) VD: – VD: – VD: –

    Service Place of supply, VAT rate and declaration, if the service is provided to:
    Other Estonian taxable person Estonian non-taxable person Taxable person
    of other MS    		 Non-taxable person of other MS Third country person engaged in business Third country person not engaged in business
    Estonian domestic transport services for goods
    (incl. after the completion of customs formalities of imported goods)

    Subsection 1 of § 10,
    clause 8 of subsection 2 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%    		 Estonia – country of location of the provider of the service (clause 8 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 8 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 Estonia – country of location of the provider of the service (clause 8 of subsection 2 of § 10)

    22%
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: fields
    1, 4    		 KMD: field 3 KMD: fields
    1, 4
    VD: – VD: – VD: + VD: – VD: – VD: –
    Transport services for goods from Estonia to another MS

    Clause 8 of subsection 2 of § 10,
    clause 9 of subsection 2 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%    		 Estonia – beginning country of transport (clause 8 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 Estonia – beginning country of transport (clause 8 of subsection 2 of § 10)

    24%    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 Estonia – beginning country of transport (clause 8 of subsection 2 of § 10)

    24%
    KMD: fields
    1, 4    		 KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: fields
    1, 4    		 KMD: field 3 KMD: fields
    1, 4
    VD: – VD: – VD: + VD: – VD: – VD: –
    Transport services for goods from another MS to Estonia or outside Estonia, incl. domestic carriage in a third country and carriage between third countries

    Clause 6 of subsection 4 of § 10,
    clause 9 of subsection 4 of § 10
    of the VAT Act    		 Estonia – country of location of the recipient of the service (subsection 1 of § 10)

    24%

    VAT rate of the country where the carriage begins

    		 Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 VAT rate of the country where the carriage begins Country of location of the recipient of the service (clause 9 of subsection 4 of § 10)

    0% (clause 1 of subsection 4 of § 15)    		 VAT rate of the country where the carriage begins
    KMD: fields
    1, 4    		 KMD: fields 3, 3.1 KMD: field 3
    VD: – VD: – VD: + VD: – VD: – VD: –
    Ancillary services related to transport of goods,
    listed in subsection 8 of § 10 of the VAT Act    		 Estonia – country of location of the recipient of the ancillary service VAT rate of the country where the ancillary services were provided Country of location of the recipient of the ancillary service VAT rate of the country where
    the ancillary services were provided    		 Country of location of the recipient of the ancillary service VAT rate of the country where the ancillary services were provided

    Special provisions

    Upon the provision of services listed in clauses 8–11 of subsection 4 of § 15 of the VAT Act, starting from 1 July 2022, the tax rate is always 0% if the service is provided to the consignor or consignee:

    8) transport services for goods placed under an external transit procedure, services for organisation of such transport of goods and ancillary services related to such transport of goods if the carriage is a part of the carriage which begins or ends in a third country;

    9) transport services for the export* of goods, services for organisation of such transport of goods and ancillary services related to such transport of goods;

    10) transport services for the import** of goods, services for organisation of such transport of goods and ancillary services related to such transport of goods, if the cost of such services is included in the taxable value of the goods to be imported.

    Also, beginning from 1 July 2022, the transport service provided for the delivery of the following goods, the service of organising transport of the following goods and ancillary services related to transport of the following goods to the EU customs territory, specified in clause 101 of subsection 5 of § 15 of the VAT Act, is taxed at the 0% rate of VAT:

    • non-Union goods placed under the customs warehousing procedure, free zone, inward processing, transit or temporary importation with total relief from import duties, or
    • non-Union goods in temporary storage,

    if these services are provided to the consignee or the consignor of the goods.

    If the services referred to are provided to a person who is not the consignor or consignee of the goods, the services are taxed according to the general rules of taxation of services related to the transport of goods.

    According to clause 11 of subsection of § of the VAT Act, the following are always taxed at a 0% tax rate, regardless of the person receiving the service:

    • transportation of goods to the Azores or Madeira or from there to Estonia or another Member State.


    *Definition of the export of goods is enacted in § 5 of the VAT Act

    **Definition of the import of goods is enacted in § 6 of the VAT Act

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    Last updated: 05.11.2025

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