Taxation system is driving tourists away


Retailers believe that if tourists from outside the European Union could get value added tax on purchases made in Estonia reimbursed on the same basis as in neighbouring countries, it would bring more work for local tourism enterprises as well as for retailers.  At the moment, the tourists from the United States and from Russia, for example, get the value added tax on goods bought in Estonia via the tax-free system, if the total amount of purchases from one store is at least 2,500 kroons. According to the draft law amending the Value Added Tax act that has passed the first reading in the Riigikogu, the minimum amount required is expected to fall, but not by as much as retailers hope.


Eesti Paevaleht, 2008-11-24

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