Find general guidance about taxes when using Wise Interest or Stocks.
If you have questions about your taxes or filing a return — speak to a qualified professional. Wise can’t give you advice on your personal tax situation, and this article is meant for information purposes only.
When you turn on Interest or Stocks, you’re investing in units in a fund. If you’re an Estonian tax resident, this means you may need to report all of your worldwide income in your Estonian personal income tax return form. You may also need to pay income tax on capital gains if applicable.
When is capital gains tax due?
Capital gains tax, or income tax on capital gains, can become due when you dispose of units in the fund and you realise a gain. In other words: when you spend, send, convert, or move money to another account. It might also be possible to report losses to set against future gains.
The Wise account doesn't act as an investment account for Estonian personal income tax return purposes in the same way as a traditional bank account.
Learn more about investment accounts in Estonia
For your 2023 tax year, you can't automatically send your transactions data from Wise to EMTA just yet. But you can request a tax statement from us — just provide the information you need to insert into your personal income tax return.
Where can I get more information about how to submit a tax return?
Estonian tax residents will need to report their realised capital gains on their annual personal tax return (Form A) before 30 April.
How to get data I may need to report on my tax return?
To find out how much money you’ve made or lost using Interest or Stocks, you can download a tax report from your account.
To do this:
On the web, go to your account via either your name in the top corner
Select Statements and reports
Select Tax statement and Request tax statement
What information will tax statement show?
The tax statement will show:
the ISIN and country of the fund
an overview of all the acquisitions and disposals
amount of holding
unit price per fund
any gains or losses realised
fees charged
Do I need to choose FIFO or WACC for the cost basis method?
According to the instructions that Estonian tax authorities give in Form A, you can choose either, but you must use the method you choose consistently.
How should I report the transactions from the tax statement?
When you open your tax statement, the overall summary shows you the consolidated summary of capital gains across all funds. The following pages show in chronological order the acquisitions and disposals in each fund. Always double-check that the data on the report is accurate.
According to the instructions that Estonian tax authorities give in Form A, you can consolidate your capital gain or loss per fund, instead of reporting all purchase and sell transactions one by one, when you report it on your personal tax return. This means that if you have invested in multiple funds, you can calculate the sum of the acquisitions, disposals, amount of units per each fund by yourself.
The funds you invest via Wise are domiciled outside of Estonia, so foreign income from capital gains is reported in box 8.2.
Can I deduct Wise fees from capital gains earned?
General guidance from EMTA is that account maintenance fees, and other general costs that are not directly linked to the purchase or selling of securities, are not deductible. But since the amount of Wise fees are linked to the amount invested in funds, these could be considered deductible. Contact EMTA directly to be sure.
What if I still have questions?
Please consult with your tax advisor, or contact EMTA directly.