Information concerning the Euro

Quick overview of facts and activities concerning the Euro.

In July 2010 a decision was made about Estonia adopting the Euro from 1 January 2011. The exchange rate was decided to be 1 EUR = 15.6466, which is the same rate that has been valid for the past few years.

From the accountancy point-of-view rounding off has become the issue most talked about. The common approach is to divide sums with 15.6466 to find the new values in Euros. Rounding off has been paid much attention to and companies have the option to join the Honest Rounding-Off Agreement.

From 1 July 2010 to 30 June 2011 retail businesses are under the obligation to display prices both in Euros and in Kroons.

Somewhat more principal is the question of changes concerning the correcting of companies share capital. This derives from the requirement of re-registering share capital into Euros. Companies have had the corresponding possibility from 13 July 2010 and it can be carried out both electronically or at the notary office.

It may be expected that the change shall set a challenge first and foremost to the companies’ financial software, where a simple rounding off rule may not be programmed in a standardized way throughout all programmes and databases. Hereby we recommend checking the readiness of used financial software to the forthcoming change.

We are ready to help with the activities with adopting the Euro, both in questions relating to financial accounting and software and in share capital re-registration activities.