Seizure of bank account

(1) A tax authority has the right to issue and order to a credit institution for the seizure of the bank account of a debtor or for the transfer of money from the bank account of a debtor to the bank account designated therefor in the amount of the tax arrears.

[RT I, 13.12.2011, 1 - entry into force 01.01.2012]

(2) A credit institution is required to comply without delay with an order issued by a tax authority for the seizure of the bank account of a taxable person. If the amount in the bank account is smaller than the amount to be transferred according to the order of the tax authority, the credit institution is required to comply with the order for the transfer of the tax arrears in an amount equal to the amount in the bank account of the taxable person and, in the event of further receipts of money in the bank account of the debtor, transfer the money to the bank account designated therefor until the amount indicated in the order is paid, unless the tax authority has granted permission to access the seized bank account.

[RT I, 13.12.2011, 1 - entry into force 01.01.2012]

(3) Upon the collection of the tax arrears or seizure of the bank account of a natural person, the amount of the minimum monthly wage for the person who owes arrears and for each of his or her dependant family members shall not be subject to collection or seizure by a tax authority each month. Information on the dependants shall be given to the tax authority by the person who shall, at the request of the tax authority, submit the necessary documents. Upon issue of the order, the tax authority may take the information available thereto on the dependants of the person as the basis for the issue of the order. If the person submits different information on his or her dependants after the issue of the order, the order shall be amended correspondingly.

(4) Payments from a seized bank account may only be made with the permission of a tax authority. A seized bank account is accessible with the permission of a tax authority. A tax authority shall issue an order for the release of a bank account from seizure within three working days after payment of the tax arrears.

(5) A credit institution is prohibited from providing a taxable person with access to a bank account if an order of a tax authority concerning the seizure of the bank account of the taxable person has been received.

(6) Upon seizure of the bank account of a taxable person, the credit institution is required to communicate immediately, by post or electronic means, the following information to the tax authority which issued the order:

1) the date and time of receipt of the order;

2) the name and title of the employee who received the order;

3) the date and time of seizure of the bank account;

4) the balance in the bank account at the moment of seizure of the bank account.

[RT I 2005, 25, 193 - entry into force 01.07.2005]