TAX RATES | LUXEMBOURG | SWITZERLAND | ESTONIA |
---|---|---|---|
Corporate income tax rate | 21 % | 8,5% (federal) (7,83% effective) | 20% |
Branch tax rate | 21% | 8,5% (federal) (7,83% effective) | No |
Capital gains tax rate | 0% / 21% | 0% / 8,5% (federal) (7,83% effective) | No (taxed only where there is a profit distribution) |
Basis | Worldwide income | Worldwide income | Worldwide income |
Participation exemption | Yes | Yes | The corporate income tax will not be charged on redistribution of dividends, if the underlying dividends are received from a subsidiary that is tax resident in an EEA member state or Switzerland and the Estonian parent holds at least 10% of the shares or votes of the parent company. |
Loss relief | Indefinite | 7 years | Unlimited |
Carryforeward | No | No | No |
Carryback | – | – | – |
Double taxation relief | Yes | Yes | Yes |
Tax concolidation | Yes | No | Yes |
Transfer pricing rules | Yes | No | Yes |
Thin capitalization rules | No (other than for the holding of participation) | No, but safe harbor rules apply | No |
Controlled foreign company rules | No | No | No (regime applies only to individuals) |
Tax year | Calendar year or fiscal year | Financial year | Calendar year |
Advance payment of tax | Yes | No | No |
Return due date | 31 May | Varies | Monthly bases |
Dividends | 0% / 15% | 35% | 0% |
Interest | 0% / (15% in certain cases) | 0% / 35% | 0% |
Royalties | – | 0% | 0% / 10% |
Branch remittance tax | 0% | 0% | 0% |
Capital tax | No | 0,001% – 0,5% | No |
Municipal business tax | 6,75% – 12% | Not available | No |
Employment surcharge | 7% | 1,0-2,2% | 0,8% – 1,6% |
Net worth tax | 0,5% | Up to 0,5% | No |
Min net worth tax | Varies | No | No |
Chamber of Commerce contributions | 0,025% – 0,2% | – | No |
Social security contributions | 12,42% – 15,2% | 0,25% – 4,2% | 33% |
Real estate tax | 0,7% – 1% | Cantonal level tax | 0,1% – 2,5% |
Transfer tax | 6% (+1% transcription tax) | 0,15% / 0,3% | No |
Specific registration duty | 0,6% or 6% (+1% transcription tax) | – | 16 000 € for VAT |
Stamp tax | Varies | 1% / 2,5% / 5% | Varies |
VAT | 17% or 14%, 8%, 3%, 0% | 8% | 20% / 9% |