VATLive > Blog > VAT > Estonia VAT proposals - Avalara

Estonia VAT proposals

  • VAT
  • 13 May 2015 | Richard Asquith

Estonia VAT proposals

The Estonia government has proposed to withdraw a number of tax raising measures. Their cancellation will be funded by as yet unspecified spending cuts. There will though be an increase in alcohol (10%) and tobacco (5%) duties in 2016.

The changes include:

  • Withdrawing the proposed rise in Estonian VAT on hotels. The plan had been to reclassify hotel accommodation from the reduced rate of 9% to the standard rate of 20%
  • Cancel the fuel excise duty increase of 5% planned for 2019

The above rises had originally been proposed to help close the stubborn government deficit.

Estonia's Government recently met to consider budget strategies for the coming four years, including talk of tax measures.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.