How does the VAT system work?

Last updated: March 04, 2021

VAT is added to your sales invoices, and in turn, you need to pay the VAT you collect as tax.

In case a VAT number and VAT reporting are needed, Xolo Leap will take care of applying for VAT and regular monthly tax reporting in Estonia. The VAT application process is initiated after your company registration and it takes around 3-5 business days to complete.

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