Entrepreneurs are alarmed by the idea of being forced to pay income taxes in advance

With existing taxes already sky-high, the government has begun looking to corporate income as a new source of tax revenue, alarming entrepreneurs and their accountants, but the explanations are initially scant. Finance Minister Jürgen Ligi said there would be no real corporate income tax, the system would remain the same, but a temporary security tax component would be added. Photo: Madis Veltman, Shutterstock (kollaaž)

With existing taxes already sky-high, the government has begun looking to corporate income as a new source of tax revenue, alarming entrepreneurs and their accountants, but the explanations are initially scant.

Translation: Alexander Shkut

A two percent corporate income tax will be applied in Estonia from 2026, and since the money is needed in the budget immediately, it is planned to start collecting it in advance.

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