Do I Need a VAT Number for My Estonian Company?
Your company needs an intra-community VAT number if any of these conditions apply:
First, if your company offers services such as development, design, consulting, marketing, etc., to European customers, and its earnings exceed 40,000 euros a year.
Also, if you offer digital services or products (software or digital content) to European B2C customers (final consumers) from the first sale.
Finally, if you offer digital services or products (software or digital content) to European B2B customers (business to business) from the first sale, and you enter more than 40,000 euros a year.
Even if none of the conditions above applies, we recommend you obtain your VAT number if you are dealing with other European customers or business partners.
Why? Because there are more advantages and no disadvantages:
🤩 It allows you to operate more easily in the European Union. For starters, invoicing between European companies with VAT numbers implies adding VAT 0% to your invoice. That greatly simplifies invoicing and you avoid VAT payments back and forth.
🤩 In addition, the VAT number adds reliability to your company for your customers and suppliers.
🤩 It is also very useful to avoid having to always be aware of the different VAT of the different European countries.
You can find more information here.
First, if your company offers services such as development, design, consulting, marketing, etc., to European customers, and its earnings exceed 40,000 euros a year.
Also, if you offer digital services or products (software or digital content) to European B2C customers (final consumers) from the first sale.
Finally, if you offer digital services or products (software or digital content) to European B2B customers (business to business) from the first sale, and you enter more than 40,000 euros a year.
Even if none of the conditions above applies, we recommend you obtain your VAT number if you are dealing with other European customers or business partners.
Why? Because there are more advantages and no disadvantages:
🤩 It allows you to operate more easily in the European Union. For starters, invoicing between European companies with VAT numbers implies adding VAT 0% to your invoice. That greatly simplifies invoicing and you avoid VAT payments back and forth.
🤩 In addition, the VAT number adds reliability to your company for your customers and suppliers.
🤩 It is also very useful to avoid having to always be aware of the different VAT of the different European countries.
You can find more information here.
Updated on: 16/08/2022
Thank you!