The share of e-commerce is growing steadily – it is estimated that 95% of purchases will be made online by 2040. According to Statistics Estonia, 75% of Internet users have bought or ordered products and services from the Internet in the last 12 months (compared to 68% last year). Thus, it can be said that selling products and services through some e-commerce model is becoming increasingly important for business success.
Nowadays, when data entry can be increasingly automated, the accountant’s choice of how well he or she can interpret numbers, is becoming more and more decisive. While starting a business, first-hand personal advice and assurance that the accounting will be in order, is required. As your business grows you will gradually add management reporting and forecasting, which in turn may require you to step away from your long-term accounting partner and find a new and better option.
E-commerce is a fast-growing industry both in our country and elsewhere, but taxes on e-commerce are a relatively complex subject that few people are familiar with. In order to keep e-commerce accounting accurate, you need to know how to calculate taxes and in which countries you pay taxes. This, in turn, depends on what your product is, how your product moves and who are the buyers.