Who is the grant intended for?
The grant is intended for companies registered in the Estonian Business Register that have at least one research and development (R&D) employee.
Research and Development (R&D) employees are professionals, including scientists, engineers, and technicians, who are actively involved in carrying out research and development activities. These individuals possess high levels of education, expertise, and experience in their respective fields and directly contribute to R&D projects within an institution or its subdivisions.
The classification of R&D employees as “scientists,” “engineers,” or “technicians” is based on the activities they perform, not their job titles. For instance, a scientist may take on tasks typically associated with a technician, and a technician may perform duties usually carried out by a scientist.
Key Responsibilities of R&D Employees:
- Planning and managing research and development projects
- Conducting scientific and technical work within R&D projects (e.g., preparing and conducting research, building prototypes)
- Preparing interim and final reports for R&D projects
- Providing research and development services for projects (e.g., laboratory work, testing)
Anyone engaged in one or more of these activities contributes to the R&D efforts of the institution or its subdivisions and should be counted as an R&D employee, regardless of their formal job title or duties.
The employment contract between the grant applicant and the R&D employee must be either for an indefinite period or valid for at least 12 months from the date of the contract’s conclusion.
What is the grant for?
- The grant provides support for expenses related to the salary of a research and development (R&D) employee
- The subsidy amount is up to 25 percent of the income tax calculated on the salary declared to the Tax and Customs Board for the R&D employee during the supported period
- To be eligible, the company must have declared social tax and income tax on the payments made to the R&D employee to the Tax and Customs Board for at least three months immediately preceding the submission of the application
- If an R&D employee also performs other tasks within the company, the support is calculated based only on the proportion of their work related to research and development activities
What will change in my company?
Increased Volume of Research and Development
Your company's research and development activities will expand.
Creation of More R&D Jobs
There will be an increase in the number of R&D positions within your company.
Enhanced Competitiveness
Your company’s overall competitiveness in the market will improve.
Assistance for applicant
Read more about the terms and conditions in the grant regulation (in Estonian)
Read about applying grant in Estonian here
The application can be compiled and submitted in the online E-toetus environment
Grant can be applied only in Estonian language.
Find more information about the previous projects and the grants they received here: