When you set up a company in Estonia, you’re not automatically liable for VAT, so you don’t necessarily need to register. However, it becomes mandatory to apply for VAT within 3 working days from the date you hit the threshold of € 40,000 of turnover in a calendar year. If you’d like to register for VAT earlier than that, for example to deduct VAT from expenses, you can do so by applying for a VAT number.
Do I need a VAT number? When is it mandatory? Can I apply before it’s necessary?
