A dispute over a costly legislative error in Riigikogu, the Estonian Parliament, may be heading to court. A longtime adviser is preparing to challenge her dismissal after an oversight in the country’s gambling tax law. The taxation error, which became known in January, resulted in no online casino taxes for 2026. As a result, the government lost roughly EUR 4 million ($4.63 million) in tax revenue.
The Error Had Significant Consequences
After working for more than three decades at the Riigikogu Chancellery, Piia Schults suddenly found herself dismissed from her position because of a drafting mistake during the Gambling Tax Act amendment process. A recent report by Estonian outlet ERR News revealed that the dismissal followed disciplinary action after a serious breach of professional duties.
According to Riigikogu Secretary General Antero Habicht, the decision was also based on additional factors uncovered during the internal review. However, the nature of this information has not been made public. Meanwhile, Schults challenges both her dismissal process and its reasoning. She intends to take the matter to court, framing the case as one that raises broader questions about accountability inside Estonia’s public sector.
I feel it is my duty to take this matter to court. Unfortunately, this is ultimately a matter of values.
Piia Schults
Details around the error have also drawn scrutiny. According to reports, Schults had previously warned that the draft legislation was moving too quickly and required more time for proper examination. She later added that workload pressures and unclear internal procedures created sufficient disruption for the error to go unnoticed.
Schults Insists That a Dismissal Was Disproportionate
Some observers argue that this incident is part of a broader pattern where civil servants are punished for poor political decisions. Drafting complex legislation often involves tight deadlines and multiple approval stages, making it difficult to determine responsibility when something goes wrong. The situation has also resonated within Estonia’s relatively small administrative community, which has rallied in support of Schults.
The personal impact on Schults has been significant. She described the dismissal as unexpected, citing a 32-year career with consistently positive performance and no prior disciplinary issues. Schults stated that performance reviews and management feedback have been consistently positive. She acknowledged the seriousness of the mistake, but contended that one error should not define her professional life.
This mistake was indeed terrible, and I am very shaken by it, but this is the first such incident in my entire career.
Piia Schults
A potential court challenge could test how Estonian courts interpret the principle of proportionality in public sector disciplinary actions. The primary argument centers on whether dismissal was a reasonable response or an excessive measure given the situation. The outcome could influence how the Riigikogu handles similar cases in the future, particularly regarding technical errors with significant financial consequences.
