Posted on Friday June 23rd, 2017 by Ragnar Sepp

e-Residence is not offshore

Possible amendments of legislation, which allow to set foreign country as a place of company management and allow to open a banking account remotely – they are logical and consequent moves towards development of e-Residency, as was stated by Estonian Bar AssotiationOtherwise it would be quite complicated to realize nature of e-Residency in full.

Estonia will not become an off-shore jurisdiction only because there will be an option of managing a company from abroad. All risks concerned with remote control, like using false persons, avoiding taxes, nonfulfilment of obligations, money laundery and so on, may be totally applied for a company managed from Estonia.

It is also cruicial for a company registered by e-Resident to have a banking account. Otherwise its business activity will be very complicated.

Ministery of internal affairs has developed a new bill to alow opening banking account remotely, using only IT technologies. There will be also a strict controll to prevent fraud activities in Estonia.

Some other steps should be made to make it simplier a company registration process in Estonia. Like a possibility to submit to Commercial Register documents written in English.