Estonia to introduce tonnage tax

The Estonian government is rejigging its shipping regulatory framework with a tonnage tax on the cards.

The Baltic nation has announced plans for a tonnage tax as an alternative to corporate income tax for shipping companies. Shipping lines will be able to decide whether to pay the typical 20% tax on withdrawn profits or a tonnage tax at a yet undetermined rate based on a vessel’s gross tonnage.

In other shake-ups to Estonia’s shipping set-up, the nation’s registry is going digital, allowing owners to register ships remotely in a bid to drive up tonnage on the local flag.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
Back to top button