4 ms·

I would say that depends of the company's legal form. If you have an "AG" or "GmbH" you get double taxed anyway, one time the company and than again your salary

• ExpertAdvisor01 4mo ago
  I think you misunderstood double taxation . You probably understood it as taxation on corporate and personal level. But in this context it means taxation in two jurisdiction (Estonia,Germany)
• b3orn 4mo ago
  You don't get double taxed, you get taxed on your salary and your company gets taxed on whatever profit remains after paying salaries.
• notpushkin 4mo ago
  > So if you have an Estonian equevilant of a GmbH/AG your company will get taxed by Estonia and your salary by Germany Estonian CIT is 0%. If you pay dividends (which is not required), or if you pay director’s salary (optional if you’re a one-man company without a ton of admin), those will be taxed in Estonia. If you only pay yourself for your actual services – no taxes in Estonia. Germany might tax your Estonian company if they determine the company is a German resident. Check with your accountant. (IANAL)
  • ExpertAdvisor01 4mo ago
    Estonia isn't 0% cit . Tax is just deferred until distribution.
    • notpushkin 3mo ago
      Technically yeah. But you don’t have to distribute profits, and paying yourself for your (non-admin) services is not taxed in Estonia. You might have to pay yourself a director’s salary. That would indeed be taxed at 22%, but you still only have to bill for the time you actually do admin / management work. So if you spend, say, 5 days a month on it and 15 days a month on everything else, the effective rate would work out to 5,5%. And for a single shareholder company with no employees and under 2M € annual revenue (and probably some other criteria like not having employees or veing liable for VAT or something) it is the general practice to just not pay the director’s salary at all. (This is probably a gross oversimplification, definitely ask a real accountant about the details.)