Estonia works on attracting shipping industry with tax exceptions
Shipping-industry exceptions to the Estonian tax system are on the agenda of the Estonian government as decisions have been made on taxable base for seafarers and remote registration of ships to be available to e-residents.
Estonian public broadcaster ERR reports that aiming for exceptions in Estonia’s previously uniform tax system for the shipping sector and seafarers the government established that their taxable base should be 750 euros and must now decide whether the typical 20% or the local government rate 11.6% should be taxed on the 750 euros percent.
Estonian ministers also decided that a tonnage tax will be put in place replacing corporate income tax as to shipping companies.
In addition a decision has been made to establish modern, paperless digital information systems that would be accessible worldwide that would be used, for example, an e-register of ships that would permit e-residents of Estonia to register ships remotely, also lifting the requirement of a physical representative in Estonia.