Six solutions for Latvian businesses
From the micro-enterprise tax to EDS declarations — six solutions covering the full Latvian tax spectrum.
EDS portal integration — automated declaration filing
EDS (Electronic Declaration System) integration with VID: automatic submission of VAT, GDLU, UIN and MUN declarations, audit trails, certificate management.
VAT — 21 / 12 / 5 % automated
Latvian VAT rates: 21 % standard, 12 % reduced (food, books, hotels), 5 % super-reduced (medicines, magazines). Monthly PVN return by the 20th.
Micro-enterprise tax (MUN) — 25 % on turnover
Micro-enterprise tax MUN 25 % on turnover up to EUR 25,000 per year. No VAT, no UIN, single payment to VID.
UIN 20 % only on distributed profit — reinvestment = 0 %
Latvian UIN (corporate income tax) 20 % only on distributed profit (dividends). Retained profit = 0 %, similar to Estonian model. Monthly/annual UIN declaration.
Payroll and VID reports — GDLU monthly form
GDLU (Annual Employee Income Declaration) monthly form: IIN 20 %, employer VSAOI 23.59 %, employee VSAOI 10.5 %, submission via EDS.
EU Eurozone — since 2014, VIES, OSS, SEPA Instant
Latvia joined the Eurozone on January 1, 2014. EU cross-border invoicing, VIES validation, OSS/IOSS for e-commerce, SEPA Instant payments.
