---
name: ee-company-formation
description: "Source-cited draft: company formation & entity choice for Estonia (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review."
license: "AGPL-3.0-or-later (code) / OpenAccountants Guide License v1.0 (content)"
metadata:
  source: openaccountants
  openaccountants_url: "https://www.openaccountants.com/skills/ee-company-formation"
  jurisdiction: "EE"
  tax_year: "2025"
  last_updated: "2026-07-13"
  review_status: "pending_review"
---

# Estonia Company Formation & Entity Choice

## Entity types, incorporation and annual compliance

- **Private limited company (osaühing, OÜ)** — Most common form; limited liability; suitable for SMEs and e-Residency businesses  _(Commercial Code (Äriseadustik) https://www.eesti.ee/en/doing-business/establishing-a-company/establishing-a-private-limited-company-oue/)_
- **Public limited company (aktsiaselts, AS)** — For larger companies; shares freely transferable; minimum share capital 25,000 EUR EUR  _(Commercial Code (Äriseadustik) https://taxsummaries.pwc.com/estonia/corporate/corporate-residence)_
- **Other entity types** — Sole proprietor (FIE), general partnership (TÜ), limited partnership (UÜ), branch of a foreign company  _(Commercial Code (Äriseadustik) https://www.eesti.ee/en/doing-business/establishing-a-company/)_
- **Minimum share capital — OÜ** — 0.01 EUR (statutory minimum since 1 February 2023; previously 2,500 EUR)  _(Commercial Code (Äriseadustik) https://enty.io/blog/share-capital-estonia)_
- **Minimum share capital — AS** — 25000 EUR  _(Commercial Code (Äriseadustik) https://taxsummaries.pwc.com/estonia/corporate/corporate-residence)_
- **Incorporation method** — Online via the e-Business Register using an Estonian ID-card or e-Residency digital ID; notary route also available  _(Commercial Code (Äriseadustik); Commercial Register Act https://www.eesti.ee/en/doing-business/establishing-a-company/establishing-a-private-limited-company-oue/)_
- **Incorporation timeline** — Online registration typically completes in 1–5 working days (often within hours via the expedited e-procedure)  _(Commercial Register Act (Äriregistri seadus) https://www.eesti.ee/en/doing-business/establishing-a-company/establishing-a-private-limited-company-oue/)_
- **Incorporation state fee** — Approximately 265 EUR for expedited online registration of an OÜ (notary route costs more) EUR (approx — confirm current state fee)  _(State Fees Act (Riigilõivuseadus) https://www.eesti.ee/en/doing-business/establishing-a-company/establishing-a-private-limited-company-oue/)_
- **e-Residency** — Digital identity allowing non-residents to establish and run an Estonian company online; does not confer tax residency or physical residence  _(Identity Documents Act (Isikut tõendavate dokumentide seadus) https://wise.com/us/blog/company-formation-in-estonia)_
- **Annual report obligation** — Every company must file an annual report (financial statements + management report) within 6 months of financial year-end  _(Accounting Act (Raamatupidamise seadus); Commercial Code (Äriseadustik) https://www.eesti.ee/en/doing-business/establishing-a-company/establishing-a-private-limited-company-oue/)_
- **Ongoing tax compliance** — Monthly Form TSD (payroll/CIT on distributions) by the 10th; monthly VAT return (KMD) by the 20th if VAT-registered  _(Income Tax Act (Tulumaksuseadus); Value-Added Tax Act (Käibemaksuseadus) https://www.emta.ee/en/business-client)_

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> **General reference only.** This document does not constitute tax, legal, or
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## Today's figures and who stands behind this skill

This file is an AI skill (tax rules your AI follows) from OpenAccountants, copied on 2026-07-13. Rates, thresholds and deadlines change. For the current version of this skill, its official sources and the named accountant (if any) who stands behind it, call `get_skill` with slug `ee-company-formation` on the OpenAccountants connector (https://www.openaccountants.com/connect), or read https://www.openaccountants.com/skills/ee-company-formation. If neither is available, confirm every figure against the official source pages cited above before relying on it.