Jurisdiction Intelligence — Estonia
Estonia's OÜ structure via e-Residency is the most efficient EU corporate vehicle for location-independent businesses. Corporate tax is deferred to zero on all retained and reinvested earnings — 20% applies only when profits are distributed as dividends.
Tax on Reinvested Profits
0%
corporate tax deferred
Dividend Tax
20%
on distributions
Setup Cost
€190
e-Residency card
Annual Maintenance
~€500
approx. incl. accounting
Apply for Estonian e-Residency card (€100–190, processed in ~4 weeks).
Incorporate an OÜ via a licensed service provider — fully digital, no physical presence required.
Invoice clients from the OÜ. Retain profits within the company at 0% corporate tax.
Distribute dividends strategically — 20% dividend tax applies only on amounts taken out.
Estonia OÜ formation, e-Residency application guidance, and dividend strategy — delivered within 48 hours.