The legal restrictions to acquire land in Estonia apply to agricultural land and woodland with the size of 10 hectares or more, and in such cases foreign individuals and companies are allowed to acquire real estate only with the permission of the county governor. Under certain conditions such permission is not required from foreign individuals and companies (which have established their branch in the Commercial Register) incorporated in the European Economic Area, and which have been engaged in the agricultural or forestry business in Estonia during the three-year period prior to acquisition of the respective land. During the EU accession negotiations Estonia has negotiated for itself the right to apply these restrictions for a seven-year transition period, subject to a review after three years.

Foreign individuals and companies not resident in the European Economic Area cannot acquire land located in smaller islands, as well as in listed territories adjacent to the frontier with Russia. However, all the above-described legal restrictions will not apply to Estonian companies, which are wholly or partly owned by foreign companies or foreign individuals.

There are no restrictions on the repatriation of profits or restrictions on the use of foreign currency. Estonia is regarded as offering a comparatively favorable income tax regime, with its exemption from corporate tax on undistributed profits, effective from 1 January 2000, as well as with its flat 22% tax rate on income derived by resident individuals. Payments to non-residents may be liable to withholding taxes, which may be reduced by tax treaty. Capital gains derived by non-residents from the disposal of property situated in Estonia are liable to 22% income tax, unless relief is available under a tax treaty.

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