According to the Income Tax Act, Citadele is obliged to determine the customer's tax residency and according to the Value Added Tax (VAT) Act, the customer's taxable person's registration number and submit this information to the tax office.
A natural person is a resident if his place of residence is in Estonia or if he/her stays in Estonia for at least 183 days during 12 consecutive calendar months. A person is considered a resident from the day of his arrival in Estonia. The resident is also an Estonian diplomat in the foreign service.
A legal entity, apart from a trust fund, is a resident if it is established on the basis of Estonian law. Resident is also a European company and a European cooperative whose seat is registered in Estonia.
Taxable person is a person engaged in business, including a public legal entity, or a state, municipality or city institution that is registered or required to register as a taxable person. A person is a natural or legal person, including a public legal person, and a state, municipal or city institution. A person liable for tax in a foreign country or another member state is a person, including a pool of assets without the status of a legal entity or an association of persons, who is liable for VAT according to the laws of the respective country.