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Thank you so much for this detailed article!
I’m just getting started on my digital nomad journey and I’m considering to become an e-resident of Estonia mainly to get access to Transferwise (I don’t have it in my country).
So I was wondering if:
a) I’d need to open up a bank account separately with Estonia.
b) If I’d need to pay any monthly fees for anything (if I want to be an e-resident + access Transferwise)
I know the questions were partly covered in the article, but I would just like to confirm and get advice.
Hi @Prakhar and welcome to the community!
a) No, you don’t need any additional bank account.
b) You need at least a legal address and contact person, which often will cost you 300-500 EUR per year. The cheapest offer I’ve seen is from Nordic Consult, which charge 125 EUR per year.
In addition you need to do accounting for the company and submit an annual report. It’s possible to do both on your own, at least if you have some accounting background, but it’s not recommended. If you only have a few transactions per year, then it might not be so expensive to outsource. If you go over the VAT threshold it gets more complicated as you’ll have to submit monthly reports.
Finally, I’m not sure if you can open a TransferWise account if you don’t qualify personally. Normally you’ll open a personal TW account, and then from there open one for your business. Business accounts are always tied to your personal account. So before going ahead and opening an Estonian company, I’d recommend that you contact TransferWise to see if you would actually be able to open an account.
I am totally new to this topic, read quite a bit about the Estonian e-residency now, and have a simple question left.
I am from Austria, therefore my home residence is within the EU. I am looking for a way to live location-independent. What could be my motivation to go with the e-residency and registering a company in Estonia if I have the disadvantage of paying taxes on both countries then?
Thanks for taking the time to answer, Thomas.