Starting from 1 July 2025, the VAT rate in Estonia will rise from 22% to 24%. However, SmartPosti’s prices for private customers will remain unchanged. The company has decided to absorb the VAT increase itself to avoid raising prices for individuals.
“Considering consecutive tax hikes and the economically challenging situation, we’ve decided not to increase prices for services intended for private customers from July 1 onward,” says Sander Borodkin, Head of Sales at SmartPosti in Estonia. “We will absorb the VAT increase to keep the final price unchanged for the customer. Our goal is to make a small but caring practical contribution to ensure that everyday costs do not rise more than absolutely necessary.”
This is already the second VAT increase within the last two years in Estonia. At the same time, several other price hikes have affected many areas of daily life – from groceries to transport and energy. According to the latest forecast from the Bank of Estonia, this year’s inflation will reach 5.4%, while economic growth is expected to be just 1.5%.
“We see every day how important our service is in people’s daily lives – whether it’s a reused item sent for practical use or a gift for a loved one. Our aim is to keep SmartPosti’s services reliable and accessible even in more difficult times,” Borodkin adds.
SmartPosti’s decision applies only to private customers. The company's pricing policy for business clients is based on separate agreements and service volumes.