Analytics, Estonia, EU – Baltic States, Financial Services, Markets and Companies, Taxation

Last year, Estonia was on its worst position ever in this list, on the 50th place, but after the abolition of sales tax in Tallinn, Estonia is in its usual range of 30-40.

The most attractive tax system in the world is in the United Arab Emirates, Qatar and Saudi Arabia, Hong Kong, Singapore and Ireland.

Estonia's advantages are simplicity and user friendliness of tax system: for example the sample company cited in the study spent 81 hours a year on paying taxes. This is two times less than in Lithuania, three times less than in Latvia and five times less than in the Czech Republic. At the same time, the tax burden of Estonian companies, especially that of labour taxes, is relatively high, nearly 50%.

Paying Taxes 2014 is a unique study from PwC and the World Bank Group. The study investigates and compares tax regimes across 189 economies worldwide using a case study company, and ranks them according to the ease of paying taxes.