The person making the payment declares the taxes and payments with¬held and calculated from the payments to the Tax and Customs Board on form TSD by the 10th date of the month follo¬wing the payment. Also, by this date, the taxes and payments are transferred to the bank account of the Tax and Customs Board.
An employee can check whether his/her employment has been registered and whether the payments made to him/her are declared and taxes paid. A person can check his/her registration, the payments and the declaration thereof in the e-Tax/e-Customs column of the Tax and Customs Board by entering as a private client and choosing “Data from employers”.
If it appears that the remuneration paid has not been declared or has only partially been declared, the tax authority must be informed.
Any cases of undeclared income can be notified to the tax authority:
• 24/7 on the information line 800 4444, which is free of charge for the caller;
• hinting by e-mail: firstname.lastname@example.org.
When giving a hint, it is recommended to define the circumstances of an incident as precisely as possible. The more detailed the hint, the faster the tax authority can respond and put an end to the illegal activity. It is also recommended to add contact data so the tax authority can specify any circumstances if necessary.
The hints received are analysed and tax proceedings organised if necessary. Should it appear during the tax proceedings that the employer has not submitted the re¬quired data to the tax authority, has submitted false data or breached the obligation to withhold, the employer may be penalised with a fine of up to 13,000 euros.
Website of the Tax and Customs Board: www.emta.ee
Information line 181120
An employee working under an employment contract has the right to receive insurance benefits in case of a lay-off if the employment relationship has lasted for at least five years and the employment contract has been cancelled due to a lay-off or on the grounds stipulated in subsection 37(5) of the Employment Contracts Act (cancellation of employment contract upon reduction of wages).
In case of the insolvency of the employer, an employee who has been working under an employment contract has the right to receive benefits from the Estonian Unemployment Insurance Fund, which guarantees the employee the remuneration and holiday pay not received due to the insolvency of the employer, as well as other benefits not received upon cancellation of the employment contract, but which are prescribed by the Employment Contracts Act. The declaration of the employer’s bankruptcy and the termination of the proceeding of a bankruptcy petition due to abatement are deemed to be the employer’s insolvency.