An Estonian company (OÜ) must file an annual report and keep proper accounting records even when it has no sales. If you run an ecommerce business through an OÜ, the report, VAT returns and tax declarations all rest on the same bookkeeping. This guide explains what is due and when, in plain terms.
What an Estonian OÜ has to file
- Annual report, submitted to the commercial register within six months after the end of the financial year.
- Tax declarations for any distributed profits, salaries or fringe benefits.
- VAT returns if the company is registered for VAT in Estonia or elsewhere in the EU.
- Updates to the register when the board, address or contact person changes.
How profit tax works for an OÜ
Estonia taxes profit when it is distributed, not when it is earned. Reinvested profit stays untaxed at company level. Distributions, such as dividends, trigger corporate income tax, and your country of residence can tax what you receive. We explain the limits in the 0% tax on reinvested profits.
Bookkeeping for an ecommerce OÜ
Marketplace sellers face extra work: settlement reports with fees and refunds, several currencies, and VAT in more than one country. Each Amazon settlement should be posted to the right accounts, not just matched to bank movements. The full approach is in Estonian company accounting for ecommerce.
Deadlines and penalties
Missing the annual report can lead to fines and, if it continues, to the company being removed from the register. Keep a calendar of VAT and report dates, and check the official registers for current rules, since they are updated from time to time.
If you live outside Estonia
Running the OÜ from another country can create tax obligations there. Read when Spain treats an Estonian company as tax resident as an example of the issue. For a broader overview see the Estonian company for ecommerce guide.
Next step
We handle accounting, annual reports and VAT for ecommerce OÜs. Book a free consultation.