about estonian e-residency

[dotbloup]

I don't know if you heard of it but estonian government has launched an ID card called E residency which allow with a card reader to incorporate a company from the Internet.


Estonia it's 0% corporate tax and 20% on dividends. That's what you will read everywhere.


Now,


1. It is the eurozone, and it has to be VAT registered.


2. You depend on people who speak and read Estonian (i guess you don't)


3. More importantly they have an electronic system to upload the annual report and it looks like you have to output all your transactions to the estonian accountant system. (oh yes, great for privacy and anonymity).


4. There re few service providers and see us (westerners) as big walking wallets, it is overpriced compared to west european services.


5. Virtual office + full accounting for it consultant (means 3 transactions a month) => 1500 dollars per year on average


6. It is not paper free and as i read russian, (russians are amongst the one who go the most for E residency), he wrote that the administration mindset of people was like 35 years back soviet era. So, it is E-Bureaucracy.

 

[JohnLocke]

This sounds good. Actually I think it is the same as Iceland was planning to‌ do or already do! I will have to digg a little around to see if‍ I can find more about Estonia and Iceland actually.

 

[swissbanking]

I found a website about e residency in Estonia https://e-estonia.com/e-residents/about/ it doesn't look like some‌ official website, but if it's real hen it seems to be a great and legit‍ alternative to most of the offshore company setups around.



OP do you know if the above is an accurate︁ picture of the card you receive or is it fake?/monthly_2016_05/e-res-id-card.jpg.c7b7092e1a74906cdbcce4752ce4b8c3.jpg

 

[JohnLocke]

Here is some more information about the Estonian e residency http://www.theguardian.com/world/2014/dec/26/estonia-offers-e-residency-to-world-what-does-it-mean

swissbanking It seems you found the direct source for the e residency the⁠ website you link to is the same as The Guardian does.

Some interesting point of⁤ view

 

[dotbloup]

I forgot to say that 2500 euros should be placed on an Estonian bank account.‌

At the end of the summer it will possible to open a bank account remotely.‍

E residency costs 100 euros

that's the official link i have used https://apply.e-estonia.com/

the problem⁠ now is related to the service providers, there are a handful that have been chosen⁤ by the government.

 

[dotbloup]

I would like to say something important. In fact, i have been approached by estonian‌ accounting companies. They asked me to give them all the feed of my account software.‍ They wanted to be intermediaries between myself and the Estonian government. The "scam" was to⁠ ask me more and more money depending on the number of transactions. Considering i use⁤ 2co & paypal with small amounts i would have be ruined quickly.

Now, i have⁣ just discovered that the area to post the annual report to the estonian governement is⁢ fully in english & i can do everything myself from remote on their website. In︀ other words, i don't need accountants to be in compliance with the law. Plus, i︁ have read irregularities cost a one off fine of 1500 euros, which is peanuts.

http://www.rik.ee/en/company-registration-portal/annual-report

 

[JohnLocke]

Thank you for the information. EUR 2500 is much, how can the money be used?‌ will we get it back when we close the company or is it a fee?‍

 

[dotbloup]

[No content provided]

 

[JohnLocke]

That's actually something I consider to do atm. It really seems to be a great‌ alternative to many of the offshore jurisdictions, Cyprus, Maltha and the UK.

 

[alain]

This I didn't know about it's time to do my research and investigate in this‌ opportunity.

If someone cross this forum and actually had luck to get himself established on‍ this e-visa in Estonia I would be happy to have a chat about it either⁠ here or by PM 😉

 

[happyjohn]

Does someone already applied for this solution? I will do next week 😉

 

[dotbloup]

My E residency card arrived at the Estonian embassy 3 weeks after application. Nevertheless, since‌ i live in France and this country is the new soviet union & workers union‍ blocked my train i could not collect it.

Nevertheless, i look into the Estonian government⁠ website and i went to the VAT return portal & the Annual financial report.
In fact, the only thing you have to do is copy pasting the account you create⁤ from the collect of VAT for every EU country to a form. So, for instance,⁣ you have added a line with FR vat on an invoice, it is cashed to⁢ a FR VAT account, you report this on the Estonian form and that's it.

I discovered all their forms were in English and also that accounting was in compliance with︀ IFRS

What it means is very important for us.

Even if we have to immobilize︁ 2500 euros at an Estonian bank, we don't need an accountant & i think it︂ is priceless for privacy & anonymity. At the end of the year, you just need︃ to copy paste the P&L and balance sheet from your accounting software to the Estonian︄ government online portal from your cozy place.

In other words, you don't need any one︅ to look at your invoices & your transactions. coo-:!ycoo-:!ycoo-:!y

You need 2,000,000 euros annual revenue and︆ 1,000,000 assets to fall under the audit.

http://www.koda.ee/en/services/accounting-and-audit-requirements/audit-requirements/

 

[negon]

how do you get that e-residency now?

 

[dotbloup]

You apply here‌ for E residency

Apply - e-Estonia

 

[dotbloup]

So by the way, i have found something pretty cool about the E - residency.‌ The service providers for virtual office and mail forwarding are just what it is, meaning‍ they are not agents. In other words, there is no intermediaries between yourself and the⁠ government. In other words, you keep the incorporation information for you & no one else⁤ keep the documents. In other words, you don't need to provide information about your business⁣ activities to anyone & justify yourself to anyone.

Then, everything you need are only service⁢ providers.

 

[aage]

This is pretty cool man. I wonder what business is accepted there any restrictions on‌ Adult for instant? Do you know if it's possible to open a bank account there?‍

 

[dotbloup]

No there is no restrictions on pornography. you just need⁠ to put a legal message like "forbidden to minors"

open it in Chrome for translation.⁤

Pornograafilise sisuga ja vägivalda või julmust propageerivate teoste leviku reguleerimise seadus – Riigi Teataja

I know this issue pretty well because i have myself adult websites and i wanted to⁣ incorporate a company in Bulgaria. Then, i have discovered at the last moment that Pornography⁢ was illegal in Bulgaria.

 

[negon]

Yeah that's the problem in some countries they prohabit the company to be used for‌ Adult business. So you took your business to Estonia rather than Bulgaria.

What about filing‍ audited tax reports is that required? and do you have someone to help you with⁠ accounting?

 

[ghostbuster]

Can we please draw a conclusion here... OP got his card and is e-residency in‌ Estonia and has now to pay 0% tax for income and profits he make from‍ his offshore company, is that how we have to understand all of it.

Please elaborate⁠ I don't have a clue.

 

[aage]

Thanks Mate, do you know is there is any bank there⁢ that accept this business?