Financial accounting

Accounting

Annual financial reporting

Every year within 6 months after the end of the respective fiscal year, companies have to submit annual reports to the Commercial Register. For instance, where the fiscal year lasts from 1 January to 31 December, the report is to be submitted by 30 June. Fiscal year shall not necessarily be equal to the calendar year.

According to the Accounting Act (Raamatupidamise seadus), the companies have the right to decide whether to submit their financial report in accordance with International Financial Reporting Standards adopted by the European Commission, or in accordance with provision of the Accounting Act and instructions of the Accounting Authority (Raamatupidamise Toimkonna juhendid).

Where an Estonian company has over 50% participation in another company it shall submit consolidated accounting reports.

Liquidation reporting

The liquidation procedure may involve up to three types of reports.

The liquidation report is the report with regard to the company’s fiscal year – from the beginning of liquidation procedure to the end of the company’s activities.

The interim liquidation report is the report prepared after adoption of the decision on liquidation, where the liquidation process is not finished and more than 12 months have passed from commencement of the process.

The concluding report is the report prepared upon completion of liquidation proceedings.

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