Estonia, Financial Services, Legislation, Markets and Companies, Taxation

International Internet Magazine. Baltic States news & analytics Friday, 29.03.2024, 14:17

Working Registry in Estonia has resulted in 5.1 mln euros extra tax money

BC, Tallinn, 12.12.2014.Print version
As the result of the obligation to register employees in the Working Registry starting July and the observations of the Estonian Tax and Customs Board, in four months, the number of people receiving official income has increased by nearly 9,000 and the effect of all this on Estonian tax revenues is an estimated 5.1 million euros, LETA/Postimees Online reports.

Tax and Customs Administration Control Department Deputy Head Kaido Lemendik said that the observations on locations show that the added workers are paid close to minimum wages officially. "While the first aim of observations of the registration of working is to make sure the registration exists, now we are beginning to pay more attention to whether the declared earnings correspond to reality," said Lemendik.

 

By the penultimate week of November, the board had made inquiries on more than 13,000 employees, of whom approximately 1,300 were unregistered. The largest number of unregistered persons was ascertained in construction (407 employees), food and beverage serving (141 employees) and retail trade (138 employees). The unregistered workers' wage payment in October was 350 euros.

 

As of 24 November, valid working of 578,402 persons by 69,822 different employers has been registered. Of these, 525,754 persons are registered with a job contract by 59,500 employers.

 

In the working registry, that was launched from the start of July to fight unreported wage payment, a person has to be registered before he actually starts working. Later, an employee can check whether the employer has registered his working, paid taxes and whether he is entitled to social guarantees.






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