Frequently asked questions about the service of ratings

For whom and why?

Where can I find publicly available information about a company?

Companies’ representatives can find publicly available data about their companies in the e-MTA section “Ratings”.
Publicly available data can also be viewed in the block “Inquiries" on the web page of the Estonian Tax and Customs Board (ETCB) that can be used by private persons and persons without access to the e-MTA as well.

Which public data is available in the service of ratings?

The following data about companies:

  • general data (name, legal address, principal activity, etc.)
  • data declared to the ETCB (turnover, paid taxes and number of employees)
  • information about arrears, prohibitions on business and prohibitions to engage in enterprise, and declarations that have not been submitted
  • valid licences and notices of the Register of Economic Activities
  • business life cycle
  • licences of excise warehouse, tax warehouse and customs services
Where can the tax behaviour ratings given by the ETCB be found?

Ratings given to your company can be found in the e-MTA under menu item “Ratings“, where you can also view publicly available data about your company. A legal representative of a company has the access permissions to view ratings and he or she can also give others such access permission. More about granting access permissions

What are the tax behaviour ratings?

There are two tax behaviour ratings:

  1. the tax compliance rating – provides information on whether a company fulfils its tax obligations in a correct and timely manner. In addition, wages declared by a company are compared with the average Estonian wages in the same positions.
  2. the tax behaviour adequacy rating – draws attention to potential inconsistencies and shortcomings in the declaration of data and therefore enables a company to quickly improve its tax behaviour.

Tax behaviour ratings are based on automatic data processing.

Whose tax behaviour does the ETCB rate? Whose publicly available data is displayed in the service of ratings?
Person Ratings Public data
companies: public limited company, a branch of a company established in another State, European Economic Interest Grouping,
European company, European Cooperative Society, European Grouping of Territorial Cooperation,
general partnership, limited partnership, private limited company, commercial association
yes yes
sole proprietors registered as liable to value added tax yes yes
sole proprietors not liable to VAT no yes
non-profit organisations and foundations no yes
legal persons in public law and local government authorities no no
notaries and bailiffs no no
apartment associations and building associations no no
non-residents no no
Why is the tax behaviour of non-profit organisations, foundations and state authorities not rated?

The service of tax behaviour ratings is for companies and sole proprietors liable to value added tax. It is not possible to rate the tax behaviour of non-profit organisations, foundations and state authorities based on automatic data processing as the taxation principles of these organisations differ from the taxation principles of companies.

Is the tax behaviour of companies that have not submitted any declarations rated?

Ratings are given to both companies liable to VAT and not liable to VAT that are obliged to submit declarations (VAT return, form TSD, excise duty returns, the report on intra-Community supply), data for registers (employment register), and reports (security data, the stock records and reporting database). If a company is obliged to submit declarations but has not done so, it is considered in the calculation of ratings as a failure to submit declarations.

What kind of commercial value does the service of ratings create? What kind of business benefits will accrue from using the service?

The service’s business value lies in the opportunity for companies to mitigate any risks related to taxes. The service provides companies with feedback on tax behaviour and guidelines for eliminating any shortcomings identified. By following the guidelines, companies are able to reduce the risks of tax control and additional tax liabilities.

Are there other similar services on the market?

There are services based on a similar idea on the market, i.e. companies are given ratings, but these ratings are based only on publicly available data. There is nothing identical on the market, because, in addition to publicly available data, the service offered by the ETCB takes the data protected by tax secrecy into account. Companies will receive monthly feedback on their tax matters based on the data they submit.

Is it mandatory to use this service?

The use of the service is voluntary. The service aims to offer companies feedback on their tax behaviour and, in case of shortcomings, explain what needs to be improved.

Who is the company’s responsible person within the meaning of the service of ratings?

Persons responsible are the following: board member, general partner, limited partner, manager of a branch, procurator, liquidator and sole proprietor.

Why is an accountant unable to access company’s ratings?

By default, ratings are only available for company’s legal representatives (members of the management board).
Access permission included in the Accountant’s package is named “Using the service of ratings without the permission to view the ratings of represented company”, which enables an accountant to use the service of ratings, but does not give access to the tax behaviour ratings of the company that gave him or her the Accountant's package.
If an accountant needs access to ratings, you can give him or her the access permission named “Using the service of ratings”.
More about granting access permissions

Rating scale

What do the colours and values mean?

The values of ratings and their components are given on a scale from 1 to 3.

Definitions of ratings and colours:

Colour Value Meaning
Green 3 Everything is in order
Yellow 2 Some deficiencies
Red 1 Significant deficiencies

More information: Bases for the calculation of ratings (296.55 KB, PDF).

How are the tax behaviour ratings calculated? My company has only one component rated “1” and all other components are rated “3”. Why is the overall rating “1”?

The rating is based on the data a company has submitted to the ETCB and the data available to the ETCB. The number displayed next to a rating shows the value of a rating. For example, “1/3” means that the rating given to a company is “1” and the highest possible rating is “3”.
Both tax compliance and tax behaviour adequacy ratings consist of six components. Every component is also given a value.
A rating is determined by the component with the lowest value. For example, if the tax compliance rating’s component named “Declarations” is rated “2” and all other components are rated “3”, the tax compliance rating is “2”. The values of ratings draw attention to potential inconsistencies and shortcomings in tax behaviour and thus enable a company to improve itself.

What does the number displayed in the e-MTA in the section of “General data” mean?

The rating displayed in the section “General data” is the tax compliance rating that provides information on whether your company fulfils its legal obligations in a correct and timely manner. The tax behaviour adequacy rating can be viewed in the detail view. The tax behaviour adequacy rating draws attention to potential inconsistencies and shortcomings in the declaration of data. Both ratings should be reviewed to make sure your company's tax matters are in order.

If the rating received is “3” and marked in green, does this mean that the ETCB will never contact me?

Ratings are based on data submitted by companies. However, if, for example, one of your transaction partners is being audited and matters that have to be clarified with other parties of transactions are revealed, the ETCB may still contact you. If the rating received is “3” (colour green), the probability of the ETCB getting in touch with you is the lowest.

What is taken into account in the process of rating the component named “Declarations”?
Declarations and data Taken into account
VAT return and form KMD INF (parts A and B), and form VD timely submission and accuracy of data
Forms TSD timely submission and accuracy of data
Alcohol, tobacco and energy product excise duty returns timely submission
Data in the employment register accuracy of entries made using a simplified procedure or an employee’s date of birth
Records in the stock records and reporting database timely submission
Security data submitted to customs timely submission

Data updates

What does the “Data updated” date mean?

“Data updated” shows the latest date and time the data displayed was updated. Data and ratings are usually updated once in 24 hours. Different data and components of ratings are updated according to different rules.
More information: Bases for the calculation of ratings (296.55 KB, PDF).

How often is public data updated?
Public data Updated
General data (name, legal address, principal activity, etc.) once every 24 hours
Data declared to the ETCB (turnover, paid taxes and number of employees) quarterly
Information about arrears, prohibitions on business and prohibitions to engage in enterprise, and declarations that have not been submitted once every 24 hours
Valid licences and notices of the Register of Economic Activities once every 24 hours
Business life cycle once every 24 hours
Licences of excise warehouse, tax warehouse and customs services once every 24 hours
How often are ratings updated?

Ratings change when the data declared to the ETCB is amended. Such changes usually take place automatically on the day following the amendments, but all components of ratings are updated according to different rules.
More information: Bases for the calculation of ratings (296.55 KB, PDF).

When are the ratings of a new period available? Will I see the March rating in March?

Each component will be given a rating depending on the data received during the month. A number of components receive a value at the beginning of a month. Components that are rated based on information from tax declarations receive a value according to the deadline for submission.
For example, the tax compliance and tax behaviour adequacy ratings for March will be available from 25 April, i.e. March ratings will not be available until then. Although components such as “Arrears”, “Tax proceedings”, “Offences” and “Background of responsible person” are given values at the beginning of March, the overall tax compliance rating will only be available from 25 April because values are not yet available for all components (as the declarations have not been submitted yet).

Why are some components not rated, marked in colour, or given comments?

The initial value of every component is calculated when the ETCB receives all the data necessary for the calculation. If data is not available, the value is not calculated. For instance, if a company is not liable to VAT, the value of the component titled “Purchase” is not being displayed.

  • Tax compliance rating is based on the following components.
Component Value of the month in progress is given
Arrears on the first day of the month in progress
Offences on the first day of the month in progress
Tax proceedings on the first day of the month in progress
Background of responsible person on the first day of the month in progress
Average wages on the 21st day of the month that follows the month in progress
Declarations on the first day of the month in progress

Tax compliance rating is given on the 25th day of the month that follows the month in progress.

  • Tax behaviour adequacy rating is based on the following components.
Component Value of the month in progress is given
Employment on the first day of the month in progress
Sales three days after the deadline for submission of VAT return or TSD declaration in the month following the month in progress
Taxable expenses three days after the deadline for the submission of TSD declaration in the month following the month in progress
Payments three days after the deadline for the submission of TSD declaration in the month following the month in progress
Purchase three days after the deadline for the submission of VAT return in the month following the month in progress
Other observations three days after the deadline for the submission of TSD declaration in the month following the month in progress

Tax behaviour adequacy rating is given on the 25th day of the month that follows the month in progress.

Why some of the values of previous months do not change and data is not updated after I have corrected the deficiencies?

In the case of components named “Arrears”, “Tax proceedings”, “Background of responsible person” and “Average wages”, the data of previous months is not updated retrospectively. These components are based on established facts and the past values of these components do not change. For example, if a company had arrears on the last day of February and the arrears were paid off in March, the February value recorded the existence of arrears and it will not change retrospectively.

Comments

How should I proceed if a comment has been added to a component of rating?

If there are deficiencies regarding the components tax behaviour ratings are based on, comments with guidelines on how to improve the ratings are added to the components.

Examples of comments
  1. The deadline for submitting the VAT return has passed. Please submit the VAT return at the earliest opportunity.
  2. You have declared payments on form TSD that have been made to a person you have not entered in the employment register. Please check the data in the employment register and/or on form TSD and make corrections if necessary.

If in your opinion the rating does not reflect the situation correctly, please contact us by sending a message in the e-MTA or by writing an e-mail to ariklient@emta.ee. We will then be able to review the data the ratings are based on and make corrections if necessary.

If I follow the guidelines in comments and make necessary corrections, should I notify the ETCB?

Ratings usually change automatically on the day following the amendments to data and no further notification is necessary. The service of ratings displays the date and time of the most recent update.

Why is my claim for VAT refund being reviewed? Rating is marked in green, therefore everything should be in order.

The ETCB has 60 days to review the claim for refund. It is not possible to transfer all refunds to prepayment accounts on the day of the submission of declaration or the day after that. This may be the case, for example, when the refund claim exceeds 640,000 euros. The ETCB has an obligation to review large claims, but if risks are not identified, those refunds are given priority.

Notifications and certificates

How do I know if my rating has changed?

Service users can subscribe to notifications of changes in ratings. New notifications are displayed on the main page of the service in the e-MTA. To see all notifications, select “Notifications” from the menu bar. By default settings, service users get notifications to the e-MTA when ratings change. It is also possible to receive alerts of new notifications to the e-mail address in your contact details (see in the e-MTA: “Settings” > “Contact details”).

Is it possible to view the history of ratings?

Changes in the values of ratings can be followed in the e-MTA under menu item “Ratings” > “Notifications”. If you wish to receive notifications, make sure that you have subscribed to notifications (“Notifications” > “Subscribe”).

Ratings are also recorded on the certificates of tax behaviour you have generated. Select “Ratings” > “Certificates of tax behaviour” to view ratings that were valid at the time the certificates were generated.

For which period can I generate a tax behaviour certificate?

Certificates can be generated for the current month or the last 3, 6 or 12 months.

I generated a certificate that should contain the ratings of the past 12 months, but the ratings start from January 2020. Is this correct?

Yes, this is correct, because the ETCB started to calculate the ratings only since January 2020.

Is it possible to download the rating as a document

A company is able to generate a tax behaviour certificate in PDF or Digidoc format. Certificates generated in Digidoc format receive a digital stamp of the ETCB that serves as evidence that the certificate was issued by the ETCB and that the data is authentic and reliable.
Select in the e-MTA “Ratings” > ”Certificates of tax behaviour” to generate a certificate.

Why is there an option to “Make a copy of the list” after a name of a list of companies?

If you have a list where you would like to add companies (i.e. create a new list), but you would also like to save the original list, it is convenient to copy the list. By copying the list, the original list will be saved and you can add companies to the new list and give it a different name.

Who can I contact in case of further questions on the service of ratings?

Further information can be requested:

01.07.2020