You're very much correct, thanks for pointing that out!
I hadn't seen any mention of the new 7% individual rate in any newspaper articles or even accounting firm articles. I now inspected the actual income tax law [1], and sure enough the 7% clause is there.
One one hand this means a slight net tax increase to 20.02% [2], on the other hand if the total individual income is less than 25200€/year then a part of that 7% will be returned.
Indeed, I too had difficulty finding exact information on this new change. I then stumbled upon the PwC tax alerts where it was very transparently explained. Personally I wouldn't mind if they would take a bit longer to implement changes like this, so everyone can be accurately informed and optimise in time.
I hadn't seen any mention of the new 7% individual rate in any newspaper articles or even accounting firm articles. I now inspected the actual income tax law [1], and sure enough the 7% clause is there.
One one hand this means a slight net tax increase to 20.02% [2], on the other hand if the total individual income is less than 25200€/year then a part of that 7% will be returned.
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[1] Unfortunately not yet translated to English https://www.riigiteataja.ee/akt/107072017022
[2] 100 * 0.86 * 0.93 = 79.98