Before submitting the annual report, make sure that the balances of salary taxes (income tax, social tax, unemployment insurance premium and funded pension II pillar) are correct. The tax accounting balances must match the data submitted to the Estonian Tax and Customs Board (EMTA).<\/p>\n
If you have calculated salaries to employees (both under an employment contract and a contract under the law of obligations), you must ensure that both the salary and the related taxes are correctly marked as paid.<\/p>\n
Each salary calculation is linked to two<\/strong> payments:<\/p>\n When paying taxes to the Tax Board, the tax amount is first recorded on an interim account (1520 Prepayment account for taxes), and on the tax due date the tax liabilities are settled from the prepayment account.<\/p>\n Ensure that all monthly tax closing entries are saved under Reports -> TSD report<\/a><\/strong>. The TSD report displays data according to the month in which the payment was made.<\/p>\n Example<\/strong> Check the accrual-based tax<\/strong> position as of the end of the financial year in the Tax Board\u2019s data<\/strong> and compare it with the data recorded in the program.<\/p>\n\n
\nIf the salary for September is paid out in October, it will appear in the upper section of the October TSD report. The taxes are declared and paid to the Tax Authority by November 10, and the corresponding tax closing entry is reflected in the lower section of the November TSD report.<\/p>\n