{"id":22867,"date":"2024-11-13T10:57:09","date_gmt":"2024-11-13T08:57:09","guid":{"rendered":"https:\/\/unicount.eu\/?p=22867"},"modified":"2024-11-13T13:25:07","modified_gmt":"2024-11-13T11:25:07","slug":"how-estonian-companies-can-support-ukraine-through-tax-free-donations","status":"publish","type":"post","link":"https:\/\/unicount.eu\/en\/how-estonian-companies-can-support-ukraine-through-tax-free-donations\/","title":{"rendered":"How Estonian Companies can support Ukraine through Tax-Free Donations"},"content":{"rendered":"

The illegal Russian war of aggression against Ukraine has created a humanitarian crisis affecting millions of Ukrainians who need support. Unicount stands in solidarity with Ukraine, believing that every contribution, big or small, can make a meaningful impact on someone’s life. As an Estonian startup ecosystem company rooted in community and compassion, Unicount encourages everyone to support those impacted by the war.<\/p>\n

<\/p>\n

How Unicount is Helping<\/h3>\n

Unicount<\/a>, a company dedicated to helping entrepreneurs start and manage businesses online through Estonia\u2019s e-Residency program, has extended its mission to support Ukraine during this difficult time.<\/p>\n

Our approach is grounded in the belief that Estonian businesses can meaningfully support humanity in times of crisis. We are promoting local non-profit organizations that offer needed essentials to Ukrainians, both those within Ukraine and refugees arriving in Estonia. While our contribution is a small part of a much larger humanitarian effort, we hope it brings some relief and encourages others to join however they can. There are many ways to make a difference; together, our collective support can have a real impact.<\/p>\n

\"\"<\/p>\n

<\/h3>\n

Tax-Free Donations For Estonian Companies<\/h3>\n

In Estonia, companies can deduct gifts and donations<\/a> from their taxable income when they contribute to tax-exempt non-profit associations, foundations, and religious groups approved by the Estonian Tax and Customs Board.<\/p>\n

According to subsection 66 of \u00a7 61<\/a> of the Income Tax Act, a resident legal person shall not pay income tax on the donations and gifts made to preserve the territorial integrity and sovereignty of Ukraine and to provide and organise targeted humanitarian aid if the donations and gifts are made from 1 January 2024 to 31 December 2025 to the following organisations: Estonian Rescue Association<\/a>, Estonian Refugee Council,<\/a> NGO Mondo<\/a>, Estonian Red Cross<\/a>, Ukrainian Cultural Centre<\/a>, National Defence Promotion Foundation<\/a>, and Rotary Club Tallinn Vanalinn<\/a>.<\/p>\n

Estonian companies can provide services (e.g., accommodation for Ukrainian war refugees, transport, etc.) and donate goods (e.g., humanitarian aid) to the above-listed organisation, exempt from income tax. The donations do not need to be reported on TSD (income and social tax declaration).<\/p>\n

Annual Tax-Free Limits for Donations to Other NGOs<\/strong><\/h4>\n

Estonian companies may also donate to other Estonian tax-exempt non-profits. Still, you should note the annual tax-free limits when donating to other NGOs: up to 3% of total wages paid during the fiscal year or 10% of the previous financial year\u2019s profit, whichever is more advantageous. Donations beyond these limits are subject to the standard corporate income tax rate<\/a>. Donations must be declared in Annex 5 of the TSD tax declaration to ensure compliance.<\/p>\n

Ways to Help Ukraine Through Your Estonian Company<\/h3>\n

When you\u2019re ready to support Ukraine through your Estonian company, here are some organisations and initiatives offering secure options for donations and aid. When transferring from your company account abroad, such as Wise or Revolut, do not forget to add your company number to use the tax-free donation option. Tax-exempt NGOs in Estonia must report all donations received annually, including your company number, and the tax office can match the report with the amounts you have donated you declared on TSD forms. Estonian banks automatically disclose payee company numbers on incoming payments, so it is unnecessary when making domestic payments to those NGOs.<\/p>\n

Estonian Rescue Association (P\u00e4\u00e4steliit)<\/strong><\/h4>\n

The Estonian Rescue Association<\/a>\u00a0is gathering donations to assist rescue workers in Ukraine. They accept specific rescue equipment and monetary donations to help support and equip Ukrainian emergency response teams.<\/p>\n

Estonian Rescue Association needs specific items that will directly aid Ukrainian rescue efforts. The following equipment is especially welcomed but can be bought with your financial contribution: firefighter boots, heat-resistant clothing, firefighter helmet liners, lightweight chemical protective suits, respirators with ABEK (gas and dust) filters, chemical compound identification kits (CAIS), drones with thermal cameras, helmet lights, portable gas detectors, thermal cameras, chainsaws.<\/p>\n

You can contact the Estonian Rescue Association by email at info@paasteliit.ee or by phone at +372 527 4112. Every contribution, whether equipment or financial, helps support the brave rescue workers on the frontlines in Ukraine.<\/p>\n

International Bank Transfer:
\nReciever name: P\u00e4\u00e4steliit
\nSWIFT (BIC): LHVBEE22
\nBank: AS LHV Pank. Tartu mnt 2, 10145 Tallinn
\nIBAN EE547700771002741382
\nReference: Ukraine, your company number<\/p>\n

Estonian Refugee Council (MT\u00dc Eesti Pagulasabi)<\/strong><\/h4>\n

The Estonian Refugee Council<\/a> provides direct humanitarian assistance to Ukrainians affected by the crisis. They support individuals within Ukraine and those who have fled to Estonia, focusing on critical needs such as food, shelter, medical aid, and psychosocial support. This organisation also guides refugees in adapting to new environments, offering a comprehensive approach beyond immediate emergency relief.<\/p>\n

All donations directly support the Estonian Refugee Council\u2019s efforts, ensuring that funds are allocated to urgent needs like food, medical care, and refugee accommodation. e-Resident-owned companies can make donations via international bank transfer:<\/p>\n

International Bank Transfer:
\nReceiver name: MT\u00dc Eesti Pagulasabi
\nIBAN: EE791010220258852223
\n<\/span>SWIFT\/BIC: EEUHEE2X
\n<\/span>Bank Name: SEB Pank
\nReference: Ukraine, your company number<\/span><\/p>\n

\"\"<\/p>\n

NGO Mondo (MT\u00dc Mondo)<\/strong><\/h4>\n

Mondo<\/a>, an Estonian NGO focused on reducing global inequality, has been active in Ukraine since the beginning of the crisis, providing essential aid to those in need. Known for its transparency, Mondo allocates 85% of all donations directly to support Ukrainians. Contributions are used to supply food, shelter, medical assistance, and other critical resources, and the organisation adjusts its aid based on the most immediate needs in Ukraine, ensuring that donations have the maximum impact.<\/p>\n

Mondo<\/a>\u2019s dedicated focus on Ukraine ensures your support reaches those most in need, offering them stability and hope during this difficult time. Donations can be made globally to Mondo<\/a>\u2019s SEB Bank account:<\/p>\n

International Bank Transfer:
\nReceiver name: MT\u00dc Mondo
\nIBAN: EE491010220099409013
\nSWIFT\/BIC: EEUHEE2X
\nBank Name: SEB Pank
\nReference: Ukraine, your company number<\/p>\n

Estonian Red Cross<\/strong><\/h4>\n

The Estonian Red Cross<\/a> is a longstanding humanitarian organization that collaborates with the Ukrainian Red Cross and the International Committee of the Red Cross. It focuses on providing immediate, life-saving assistance to refugees in Estonia and Ukraine. Donations to the Estonian Red Cross provide essential support such as food, medical care, and shelter. The organisation\u2019s extensive network allows it to reach people in critical need, making it a trusted and efficient way to contribute.<\/p>\n

Donating to the Estonian Red Cross, you help support a coordinated relief effort that spans Ukraine and Estonia, reaching those who need aid the most. Donations via international bank transfer:<\/p>\n

International Bank Transfer:
\nReceiver name: Eesti Punane Rist
\nIBAN: EE742200001180001436
\nSWIFT\/BIC: HABAEE2X
\nBank Name: Swedbank AS, Liivalaia 8, 15040 Tallinn, Estonia<\/p>\n

\u00a0Other organisations for donating<\/h3>\n

There are many ways to help and support Ukrainians during this time, from financial donations to volunteering and housing assistance. A wide range of trusted organisations are actively involved in providing aid, and you can find a comprehensive list along with updated information on how to contribute at this website<\/a>.<\/p>\n

You can also make taxable payments to the Ukrainian Armed Forces account in the Ukrainian central bank.<\/p>\n

The Bank of Ukraine account through which you can support the Ukrainian Armed Forces and\u00a0make card payments can be found on the\u00a0bank’s<\/span>\u00a0website<\/a>.<\/p>\n

Donations made directly to the bank are not tax-exempt, and Estonian companies must pay income tax the next month.<\/p>\n

A Call for Unity<\/h3>\n

At Unicount, we believe that compassion and a united community of e-residents can significantly impact the livelihood of people suffering from war. Alongside Estonia\u2019s startup community and the e-Residency program, we are committed to supporting Ukraine and encouraging others to join in. Every donation, every volunteer hour, and every act of kindness counts.<\/p>\n

If you are inspired to help, please donate to any of the abovementioned organisations. Together, we can extend our support to Ukraine and offer hope to those who need it most.<\/p>\n","protected":false},"excerpt":{"rendered":"

The illegal Russian war of aggression against Ukraine has created a humanitarian crisis affecting millions of Ukrainians who need support. Unicount stands in solidarity with Ukraine, believing that every contribution, big or small, can make a meaningful impact on someone’s life. As an Estonian startup ecosystem company rooted in community and compassion, Unicount encourages everyone […]<\/p>\n","protected":false},"author":7,"featured_media":22954,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[51],"tags":[65,72],"class_list":["post-22867","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-english","tag-unicount"],"acf":[],"yoast_head":"\nHow Estonian Companies can support Ukraine through Tax-Free Donations | Unicount<\/title>\n<meta name=\"description\" content=\"Support Ukraine through tax-free donations. 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