VAT Registration in Latvia

VAT registrations for foreigners in Latvia 

• 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).

• 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).

How foreigners can get a Latvian VAT number

• 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.

Latvian law on the VAT registration procedure

• 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.

Are you required to appoint a Latvian agent?

Format of a Latvian VAT number

VAT refunds in Latvia 

Application procedure for VAT refund in Latvia

VAT exemptions in 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.