On July 1, 2025, the default value-added tax (VAT) rate in Estonia will change from 22% to 24%. If you want your account data (product catalog, price lists, and more) to be automatically updated, you can find the application the Erply menu. This application will make the change automatically between 00:00 and 08:00 on July 1.
The automatic data update will change the following entries from a 22% tax rate to 24%:
- Products and services
- Cash registers
- Gift cards
- Suppliers
Entries with other tax rates (e.g., 0% or 9%) will not be affected by this change.
Previous sales and purchases will not be affected by the change.
If you choose to keep prices with VAT unchanged, Erply will also recalculate the net prices in the product catalog, service list, and selected price lists.
Opening the application
To Open the application, go to Erply menu -> PIM -> Products -> Request a VAT change (EE 2025).
Or click on this link and log in.
On that page, scroll down to the section “Schedule a VAT update”, make the choices and click “Save”:
Example
Net price | Price with VAT | VAT rate | |
| Product price right now | 10.00 € | 12.20 € | 22% |
| Net price is kept | 10.00 € | Changes to 12.40 € | 24% |
| Price with VAT is kept | Changes to 9.8387 € | 12.20 € | 24% |
Recommendations for different situations:
Creating invoices from sales orders:
If the sales order has a 22% VAT rate and is prepaid before July 1st 2025, creating an invoice after July 1st 2025 will maintain the 22% VAT rate because Erply does not change existing documents. This is correct because the payment date determines the current VAT transaction.
If the sales order has a 22% VAT rate and is not prepaid, creating an invoice after July 1st will maintain the 22% VAT rate. Here, the user must manually change the VAT rate to 24% since the payment date determines the VAT transaction.
Credit invoices:
Crediting a 2025 invoice will not change the VAT because Erply does not alter existing documents.
Copying invoices:
Copying a 2025 invoice from before July 1st will not change the VAT because Erply does not alter existing documents. Therefore, it is the user's responsibility to change the VAT rate from 22% to 24%.
Recurring billing statements:
Invoices based on billing orders for services provided before July 1, 2025 may be issued with 22% VAT.
Please note that Erply does not automatically update the VAT rate on billing orders. Starting from July 1, 2025, you will need to manually update the VAT rate on billing orders.
To do this:
- Open PIM -> Products -> Request a VAT change (EE 2025).
- Scroll down to the section “Update VAT in recurring billing”
- Select the old rate from the dropdown (22%) and enter the new rate as a number (24).
- Choose if the change will keep product's net price or price with VAT.
- Click Update.
