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WHY ESTONIA

Low taxes and state fees

  • No wealth tax or extra taxes on expensive property
  • No extra bureaucracy taxes in Aviation
  • Investor friendly tax system: no tax on reinvested capital
    • Gained money from the sale of an Aircraft will not be taxed if it stays with the company
    • Reinvested money from the sale of the aircraft will not be taxed
    • Company can be registered from virtually zero capital requirements
    • This is demonstrated by large number of foreign investors doing business in Estonia
  • The fees for aviation processes are government directed, no extra fees are allowed
  • Aviation fees in Estonia are specially low compared to the rest of the world

High regulatory standards

  • Airworthiness requirements are of the highest standard
    • Aircraft will not lose value after registering in Estonia
    • Aircraft will not be hard to sell after being registered in Estonia
    • Aircraft registered in Estonia will be safe to fly
  • No extra bureaucracy from local authorities
    • Aircraft operators are expected to follow EASA directives
    • Efficiency is supported as wide as professionalism
    • No extra time consuming processes are required other than those related to EASA requirements for safety
    • Fair competition for all air operators whether local or foreign
  • Estonian aircraft operators can be approved for private, commercial and business operation.
  • Estonia is certified to approve for international operations as RVSM, MNPS, RNAV, Transport of Dangerous Goods

Stable liberal political environment

  • The legal system is neutral and transparent
    • You don’t have to worry about corruption
    • You don’t have to worry about legal changes “against” your aircraft operation
    • You don’t have to worry about government or politicians “taking” your aircraft or nationalizing
  • The environment is liberal and investor-friendly
    • No sanctions, extra taxes will be set on you as an foreign investor
    • State aid is also directed by EU common directives so no stress about unfair competition against local operators and businesses
    • Politicians are mostly liberal and thus friendly against entrepreneurs
    • And specially friendly against foreign entrepreneurs who invest in Estonia
    • Air operators are seen as relatively important part of the economy
  • The economy is in positive growth and quick to adapt to changes
    • Legal system supports innovative new solutions
      • And specially solutions in the favour of the liberal economy and thus for new businesses
      • And if legal system should resists the growth of economy then new laws and reforms are made relatively quickly.
      • The positive growth of Estonia can also be deduced from recent history
  • Member state of NATO and EU insure that you and your aircraft are safe and secure
    • Currency is as stable as EURO can be.
      • No risk of losing money as could be with local currency losing value because of government decisions or out-of-control inflation
    • Estonia has strong support from EU, which neutralizes any potential security threats.

Location

  • Estonia is located as a good logistic point.
  • It is like a bridge between the east and the west and the north
  • Neighbouring countries are Scandinavian countries from the west and north and Russia from the east

Innovative IT solutions and ease of doing business

  • Most efficient and comfortable solutions have been quickly adapted to
    • E-Residency allows for foreign aircraft owners to:Create a virtual Estonian residency
      • Create an company in Estonia including an aviation company
      • Exchange digitally signed documents including any important transaction documents
      • Open an bank account in Estonia and do secure bank transfers
      • Declare taxes
    • This all can be done online!
      • Without the need for physical presence
      • Without the need for handwritten signatures
      • More efficiently
      • A lot more quicker compared to any other means of business transactions
      • Encrypted documents are with the highest security
      • Digitally signed documents are equal to handwritten documents in legal system of Estonia
      • All this includes documents for
        • Aircraft financing
        • Aircraft registration process
        • Aircraft Maintenance
    • Taxes can be declared online
      • 97% of Estonians declare their taxes online
      • It takes only 5 minutes to declare taxes for the entire year
    • Wide variety of other services and official operations can be done online

The Registration of Aircraft – ES-REG

  • Aircraft can be registered through Estonian CAA websites
  • This eliminates the need for physical presence for:
    • The owner of the aircraft
    • The aircraft itself
    • In agreement with local officials aircraft can be basically registered without the need to transport the aircraft to Estonia before registration
    • Aircraft documents
  • And the local authority is focused on making the process even more simple

International operators

  • There are wide variety of local air operators with the experience and know-how willing to offer services including:
    • Guidance of aircraft registration process
    • Aircraft registration
    • Aircraft handling
    • Aircraft operation
    • Flight and commercial operations
    • Aircraft maintenance
    • Continuous Airworthiness Management
    • Aerial work operations
  • This includes for business, commercial and private operations of aircraft
  • Government funded and EASA certified Aviation Academy produces Aviation professionals including:
    • Flight crew for commercial aviation
    • Engineers for aircraft maintenance
    • Aviation Management for the smooth operation of companies

Header image by Sven Zacek, link