Estonia FIE Self-Employed — Form A / Form E Annual Return

Confirm the client is an Estonian tax resident and establish their self-employment status for the relevant tax year. Determine whether they operate as a registered FIE (füüsilisest isikust ettevõtja), an entrepreneur-account (ettevõtluskonto) holder via LHV, or a mix, since each regime has different Form E obligations and social-tax mechanics. Also establish date of birth (drives pensionable-age exemption and mandatory funded-pension status) and funded-pension (II pillar) elected rate.

Gather all source documents needed to populate Form E: full-year bank statement(s) from Swedbank, SEB, LHV, Luminor, Wise, or Revolut Business; all sales invoices issued (arved); purchase invoices and receipts for claimed deductions; VAT registration certificate and KMD returns if VAT-registered; LHV entrepreneur-account annual statement if applicable; and records of social-tax quarterly advance payments made to EMTA (15 Mar, 15 Jun, 15 Sep, 15 Dec).

Process the bank statement using the Estonia transaction pattern library to classify all credits as FIE business income (Form E), employment income (Form A), entrepreneur-account receipts, or excluded items (own-account transfers, VAT collected, loan proceeds). For VAT-registered FIEs, strip the 24% VAT (or 22% pre-July 2025) from gross receipts to derive the net income figure reportable on Form E. Platform payouts (Stripe, PayPal, Wise, Upwork, Fiverr) are matched to underlying invoices.

Classify all business debit transactions against the allowable FIE expense categories: office rent, accountancy and legal fees, office supplies, marketing, software subscriptions (Google Workspace, Adobe, etc.), professional training, business travel and accommodation, and bank charges. Apply Tier 2 apportionment rules for home office (floor-area proportion), vehicle (mileage log), and mixed-use phone/internet. Flag durable asset purchases (laptops, equipment) for reviewer determination on immediate deduction vs capitalisation. Confirm social-tax advance payments are excluded from deductions and tracked as credits against the social-tax liability.

Calculate FIE business profit (Form E income minus allowable deductions), apply the 22% income-tax rate, and determine the basic exemption (maksuvaba tulu): for 2025 the income-dependent taper applies (full 7,848 EUR if total income ≤ 14,400; tapers to zero above 25,200 EUR); for 2026 a flat 8,400 EUR exemption applies regardless of income. Calculate social tax at 33% on the same profit, capped at the 2025 annual ceiling of 35,085.60 EUR, then credit the four quarterly advances already paid (4 × EUR 811.80 = EUR 3,247.20 for 2025) to arrive at the balance due by 1 October.

Log in to e-MTA (https://www.emta.ee), open the pre-populated Form A / Form E for the relevant tax year (e-filing opens 15 February; deadline 30 April), enter or confirm all computed figures, attach supporting schedules where required, and submit. Verify the refund or balance-due figure shown by e-MTA matches the working paper. If additional income tax is due, confirm it will be settled by 1 October to avoid late-payment interest.