On 1 January 2015, a number of amendments to the Income Tax Law (the Law) will enter into force. The most important amendments include.
Income tax rates
Currently, the personal income tax rate is 21% and the rate of distribution tax on companies (in Estonia there is no traditional corporate income tax but only distributed profits are taxable) is 21/79 (approximately 26.6%) on the net amount of the profit distribution, corresponding to 21% on the gross amount (distribution + distribution t…