Economic operators are required to register for VAT in Latvia
, following the local legislation. The registration procedure can be completed on a voluntary or mandatory basis. For legal assistance regarding obtaining a Latvian VAT number
, you are welcome to get in touch with our lawyers. Our Latvian lawyers
will provide you with comprehensive guidance in this regard.
| Quick Facts || |
| We offer VAT registration services (Yes/No) || Yes, our Latvian lawyers offer these services |
Standard VAT rate
| 25% |
Lower VAT rates
- 5% for certain types of food products, media, and subscriptions, and certain printed magazines, etc.
- 12% for pharmaceuticals and medical equipment, national public transport, and hotel accommodation, etc.
| Who needs VAT registration in Latvia? || Domestic taxpayers in Latvia are required to register for VAT if the value of taxable supplies made in the last year exceeds the VAT registration threshold - EUR 40,000. |
| Time frame for VAT registration in Latvia (approx.) || |
Registration for VAT in Latvia takes 3-5 working days
| VAT for real estate transactions || |
21% VAT in case of new buildings
| VAT exemptions in Latvia || |
Services related to export, import, transit carriage, passenger transport and carriage of international passengers are all exempted from VAT in Latvia.
| Filing period for VAT in Latvia || |
Every 6 months
| VAT returns support (Yes/No) || |
Yes, upon request
| VAT refund availability (Yes/No) || Yes, available for both EU and non-EU companies upon request |
| Requirement for local tax agent || |
| How long does it take to register for VAT in Latvia? || |
Almost 5 working days after the submission of required information and documentation
| Who collects VAT || |
State Revenue Service
| Documents for VAT registration in Latvia || |
- application form,
- certificate of registration,
- article of association,
- power of attorney, etc
| VAT number format || LV 12345678910 |
VAT registrations for foreigners in Latvia
If you are a third-country national who is looking forward to getting a VAT number in Latvia, you can get help from our lawyers. They can describe the whole procedure to you in the light of VAT law currently applicable in the country. However, you can also find general legal guidance below:
- the taxpayer's authorized representative in the domestic territory (Latvia) is registered at the SRS (State Revenue Service) VAT Payer Register if the VAT payer from the third country performs in the home country at least one taxable transaction (as per Art 56 of the VAT law);
- before engaging in any transactions, the permanent establishment of the third-country VAT payer must register with the SRS VAT Payer Register. This is required if the permanent establishment is involved in the domestic territory in the supply of goods or services (as per VAT law's Article 62);
- a third-country VAT payer has the option of not registering with the SRS VAT Payer Register (as Article 63 of the VAT law).
Required paperwork for SRS VAT Payer Register registration is provided below:
- Application for registration (Cabinet Regulations No. 17 of January 3, 2013, "Procedure of Applying Provisions of the Law on Value Added Tax and Certain Requirements Regarding the Payment and Administration of Value Added Tax," Appendix 3, "The Application of Taxpayer of Other EU Member State or Third Territory for Registration at the SRS VAT Payer Register");
- According to Article 66 of the VAT law and Paragraph 113 of the Cabinet Regulations No 17 of January 3, 2013, "Procedure of Applying Provisions of the Law on Value Added Tax and Certain Requirements Regarding the Payment and Administration of the Value Added Tax," if the registration application is signed by an authorized person, then a written power of attorney must also be submitted;
- If all requested information is omitted from the application or if not, all required papers are attached to the application, the SRS may decide to refuse the registration of the VAT payer from the third country as per Article 69 of the VAT law;
- If the authorized representative of the VAT payer of the third territory is not provided in the registration application all information about the person, he/she represents or is not provided all required documents to be attached to the application, the SRS decides to deny the registration of the VAT payer (Art 69 of the VAT law).
If it is difficult for you to deal with legal terminologies as a foreigner, you are advised to seek the assistance of experts in this field. You are welcome to get in touch with our Latvian lawyers
. They can help you to get your Latvian VAT number
in time by submitting the right paperwork to the related authorities. There are currently two main ways to obtain a residency in Latvia
if you are not personally connected to Latvia or anyone already living there in a way that would qualify you for one (such as EU citizenship, family reunification, family immigration, Latvian ancestry, etc.). Those two ways are residence permits based on investment and residence permits based on the purchase/acquisition of real estate. So, if you are interested in any way, get in touch with our lawyers. You can also discover the following infographic:
How foreigners can get a Latvian VAT number
The Latvian State Revenue Service will require form VAT-22 to be completed and submitted with the following supporting paperwork for non-resident businesses:
- an extract from the national trade register of the business;
- if necessary, a VAT certificate demonstrating that the company is registered for VAT elsewhere in the EU.
The lawyers at our law firm in Latvia can file these documents to the related authorities on your behalf. Get in touch to get the legal services of our expert lawyers.
VAT registration for Latvians
Latvian companies are required to register for VAT if during the last year the taxable products and services have brought the company earnings that exceed the 35,000 LVL (50,000 euros) threshold. If its earnings have not exceeded this threshold, VAT registration remains optional. In case the company supplies goods or services to an EU state, the company is required to register for VAT before the transaction is concluded.
Foreign companies are required to register for VAT in Latvia if they provide taxable goods or services. The registration can be made directly or through a representative. Companies that are not registered for VAT in Latvia but make distant sales and the value of the sold products or services exceed the threshold of 24,000 LVL (34,000 euros) must also register for VAT with the Latvian authorities. If a company does not register for VAT in time, it must pay the VAT for all taxable goods and products made during the period it was not registered plus the calculated penalties.
For any further details regarding VAT registration in Latvia
, you can get help from our Latvian lawyers
. Besides VAT registration in Latvia
, our lawyers can also assist you if you are planning to apply for residence
in this country. Our immigration lawyers in Latvia
will describe to you the criteria for acquiring residency.
Latvian law on the VAT registration procedure
The value-added tax in Latvia is applied according to the Value Added Tax Act to any goods and services. VAT is paid by every registered taxpayer and goes into the Latvian state budget. Latvia has double taxation agreements with more than 50 states to avoid double taxation.
As per the provisions of VAT law in Latvia:
- One of the following people may register with the VAT Payer Register of the State Revenue Service (SRS) if the taxpayer of another Member State conducts at least one taxable transaction on the domestic territory: taxpayer from a different Member State; or the taxpayer's authorized representative in their own country;
- Regardless of the value of the assembled or installed goods, the taxpayer from another Member State must register at the SRS VAT Payer Register before carrying out the transaction if they are supplying goods to a non-taxpayer or a non-registered taxpayer and the goods are assembled or installed on the domestic territory;
- Before engaging in such supply of goods or services in the domestic territory, the permanent establishment of the VAT payer of another Member State must first register at the SRS VAT Payer Register;
- When purchasing products through distance sales, the taxpayer from another Member State registers with the SRS VAT Payer Register: before completing the transaction if goods are supplied to which excise duty is applied in the domestic territory, regardless of the value of supplied excise goods, and within 30 days of the moment when the total value of the supplies of goods in the preceding or current year has achieved or exceeded 10,000 EUR;
- A VAT payer from another Member State has the option of not registering with the SRS VAT Payer Register.
If you are seeking any additional information regarding the Latvian VAT number
, you can get the legal services of our lawyers. Our Latvian lawyers
will not only help you with the VAT but also help you to get VAT registration in Latvia
. Our lawyers can also assist in immigration to Latvia.
Foreign private entrepreneurs come to Latvia due to its flexible tax laws and the dependability of its banks, and its residents can easily start their firms because of a variety of government initiatives supporting small businesses. It is not surprising that the forces of small enterprises provide 65% of this state's GDP. If you are planning immigration to Latvia, the services of our lawyers are at your disposal.
Are you required to appoint a Latvian agent?
A business with its headquarters in another EU member state is not needed to have local fiscal representation or agent in Latvia as of 2002, according to the EU VAT Directives. Non-EU enterprises can now register directly with the Latvian State Revenue Service without the need to select a fiscal representative as of 2014. However, it is not an obligation to appoint an agent, but it is recommended to get assistance from local experts. They can guide you through the procedure of VAT registration in Latvia. Get in touch with our lawyers in Latvia. They will not only provide you with the necessary information, but also practically assist you in getting a Latvian VAT number. Furthermore, our lawyers will also help you apply for Latvian citizenship if you are interested. If you are a Latvian citizen, you have free or heavily subsidized access to world-class healthcare systems in several EU countries. If you are planning to get these healthcare benefits, the services of our lawyers are at your disposal. With their assistance, you will able to apply for citizenship in this country without unnecessary delays.
Format of a Latvian VAT number
You must be wondering about the format of your Latvian VAT number. After the documents are submitted, it will take three to five working days to register for VAT. Once the registration has been approved, the company is given a special Latvian VAT number. Every European Union member state's VAT (value-added tax) number follows a standard format. It starts with the prefix LV and then has 11 digits for Latvia. For instance, LV-12345678910. If you need any additional information in this regard, you are welcome to get in touch with our lawyer in Latvia. They can offer comprehensive and easy ways to understand the regulations of VAT registration in Latvia.
VAT refunds in Latvia
According to EU Council Directive 2008/9/EC of February 12, 2008, which lays out new guidelines for the return of value-added tax (VAT) to taxpayers who do not conduct business in the Member State of refund, the process for VAT refunds in the European Union (EU) will alter as of January 1, 2010. By applying to the State Revenue Service of the Republic of Latvia via the Electronic Declaration System, taxpayers from Latvia who are not conducting business in the other Member State must address an electronic reimbursement request to that Member State under the new method (EDS).
According to Section II of the Cabinet of Ministers Regulation No. 1514 of December 17, 2013, "Procedure of Application for the Refund of VAT in Other Member State of the European Union and the Procedure of Refunding the Value Added Tax to a Taxable Person Established in Other Member State of the European Union," taxpayers of Latvia submit requests for VAT refunds to the appropriate authorities of other Member States. The State Revenue Service must receive the reimbursement application no later than September 30 of the year after the refunding period.
For any further information about VAT refunds in Latvia, you can get help from our lawyers. Besides these services, our lawyers can also assist you if you need any kind of information about the Latvia VAT number.
Application procedure for VAT refund in Latvia
The Latvian taxpayer must be a registered EDS user to submit a VAT refund application addressed to another Member State. To complete the refund application form, the EDS user selects the document "VAT refund application" from the document group "Outgoing Documents for VAT Refund in the European Union" and enters data following the criteria specified by the EDS. The application for a VAT refund can be submitted on behalf of a Latvian taxpayer by an authorized person who may be a taxpayer registered in the Republic of Latvia or his representative in this country. After being filled out, the document must be signed following the general requirements of the EDS.
Besides, submitting a refund application on your own, you can also rely on our lawyers for this purpose. Our immigration lawyers in Latvia
can further provide you with legal services if you are interested in applying for citizenship
in this country.
VAT exemptions in Latvia
Banking and financial services, as well as transactions with shares and securities, are exempt from VAT in Latvia. Other services exempt from VAT are social security services, medical care, education services, and real estate services such as leasing, gambling, and postal services.
If you are seeking information regarding the Latvia VAT number
, you can get help from our lawyers. Furthermore, if you are planning to relocate to Latvia, our immigration lawyers are at your disposal. They can practically assist you throughout the process of immigration to Latvia
The VAT rates in Latvia
- The standard VAT rate in Latvia is 21% starting July 2012;
- There is also a reduced VAT rate of 12% that applies to pharmaceutical products and medical equipment, dairy products, transportation, tourism facilities, and delivery of heating products such as wood, and literary works;
- A 0% tax rate applies to import and export supplies within the Community, services related to imports and exports of intra-community products, international transport of supplies and passengers, goods and services for diplomatic missions, European institutions, and international and non-profit organizations.
our attorneys if you want information about the Latvian VAT number
. They can provide you with detailed assistance in this matter. In addition to this, if you are planning to relocate to this country and open a firm,
it is advisable to get help from legal persons. The knowledgeable lawyers at our law firm in Latvia
can help you open a firm in this country.