Latvia — Value-added tax (VAT)
|General VAT Rate||Other Rates||Local Currency|
|21%||12%, 0%||Euro (EUR)|
Latvia's general VAT rate is 21%, with other rates including 12% and 0% that can apply to certain transactions. The Value-added tax (VAT) is administered by the State Revenue Service (http://www.vid.gov.lv) in Riga.
Visitors to Latvia can qualify for a VAT refund on all purchases made for export - learn more about Latvia VAT refunds here.
Latvia has a 12% reduced VAT rate on: education; domestic heating; books and ebooks; public transport
Latvia is a member of the European Union (EU) Member State trading bloc, which may affect international VAT collection and regulations.
Latvia's consumption tax is called the Value-added tax (VAT), locally known as Pievienotās vertības nodoklis (PVN), which was introduced in December 1969.
Latvia VAT rates for 2018
- Zero-rated and exempt
Latvia VAT number format
Businesses in Latvia that are required to collect tax will be issued an identification number. Tax identification numbers can be verified with the State Revenue Service, and will follow a certain format. The VAT number format is LV12345678901.
Latvia VAT return periods
Businesses in Latvia that are required to collect tax from consumers must file regular tax returns with the State Revenue Service in Riga. Latvia's VAT return periods are:
Monthly, quarterly and semiannually
Latvia Value-added tax (VAT) Thresholds
These are the revenue thresholds at which businesses in Latvia are required to start collecting and remitting tax.
- Businesses established in Latvia
- Businesses established elsewhere
- First taxable supply (specific exemptions apply)
- Distance selling
- Intra-Community acquisitions
- EUR10,000 (for non-taxable legal and private persons who perform business activities and are registered in Latvia)
Recovery of VAT by non-established businesses
Non-established businesses are small, unincorporated businesses that sell taxable goods and may consist of a single individual, or several. Non-incorporated businesses in Latvia are required to collect taxes from the consumer.
Latvia VAT Refunds
Latvia has a VAT refund program that allows tourists and others to receive a refund of any Latvia VAT paid on goods purchased in Latvia that are being exported from the country.
The minimum purchase amount needed to claim a VAT refund is €44.00 Euros (which would yield a VAT refund of about €9.24). SalesTaxHandbook has detailed information about Latvia's VAT refund program:Learn More About Latvia VAT Refunds
Latvia Tax Sources & Citations
- EN: Latvia Value Added Tax
- RU: НДС Латвия
- CN: 拉脱维亚 增值税
- Latvia State Revenue Service (http://www.vid.gov.lv)
- Ernst & Young global VAT tax study, Latvia (updated 2018)
← Back to World VAT Rates