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Amendments to Income Tax Law

21 December 2009

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Approved Changes

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Estonia

On 26 November 2009, the parliament adopted the following amendments to the Income Tax Law: -   abolition of the gradual reduction of individual income tax rate from the current 21% to 18% by 2012; -   abolition of the gradual reduction of the distribution tax rate for companies from the current 21/79 to 18/82 by 2012; and -   abolition of the gradual increase of the annual personal allowance from the current EEK 27,000 to EEK 36,000 by 2012. As a result, the respective tax rates will remain at 21% and 21/79. The annual personal allowance will remain EEK...