Latvia and the United Arab Emirates- Air Services Agreement

26 October, 2014

Air services agreement was signed between Latvia and the United Arab Emirates. The agreement proposes to establish a legal framework to remove the double taxation of international airlines from the two countries. The agreement was signed in New York

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Latvia undertakes more stable tax policies

02 October, 2014

The executive branch of the Government of Latvia has approved draft legislation that will impede tax rates from being altered more than once a year. The initiative will be included in amendments to the country's Law on Taxes and Fees.

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Double Taxation Agreement between Qatar and Latvia

30 September, 2014

Latvia signed a Double Taxation Agreement (DTA) with Qatar on September 26, 2014. Furthermore, on 10 September 2014, the cabinet of Qatar authorized the signing of the initialed income tax treaty between Qatar and Latvia and it have initialed on 24

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Latvia denies call for VAT reduction for food

19 August, 2014

In response to the Russian embargo on most food products imported from the European Union, Latvia rejects call for VAT cut for food. The Farmers' Organizations Cooperation Council in Latvia had said that a VAT reduction would boost the economy,

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Latvia proposed a twelve month tax break for Latvian Sanction-Hit Companies

12 August, 2014

In response to the Russian embargo on most food products imported from the European Union, Latvia's Economy Minister, Vjaceslavs Dombrovskis, has proposed a 12-month tax break for businesses impacted by Russian sanctions. The tax breaks could be

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FATCA agreement between US and Latvia signed

29 June, 2014

Latvia and the United States signed a Foreign Account Tax Compliance Act (FATCA) Agreement, on June 27, 2014. Under the agreement, Foreign Financial Institutions (FFIs) in Latvia will report the information required under FATCA about U.S. accounts

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Latvia: IMF Backs Retention of Flat Tax Rate

25 May, 2014

According to a statement by the International Monetary Fund (IMF) Latvia should not change the flat rate of personal income tax. As in previous years the IMF has recommended that Latvia should adjust the tax thresholds rather than change the rate.

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Latvia introduces Tax card for 2014

31 March, 2014

Latvia has prepared a “tax card” that provides an easy-to-read overview of the tax system in Latvia for 2014. This card includes a review of Latvia’s corporate income tax rates and rules, micro-enterprise tax, individual (personal) income tax,

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Treaty between Indonesia and Latvia under negotiation

29 March, 2014

Indonesia and Latvia have announced that they intend to intensify negotiations for a double taxation agreement. No details of the likely content of the agreement are currently

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Latvia: Taxable base for social security contributions approved

01 January, 2014

The Latvian regulations that set the maximum taxable base for social security contributions, set at EUR 46,400 for 2014, entered into force on 1 January 2014. This amount will be adjusted

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DTA signed between Latvia and India

27 December, 2013

According to media reports, Latvia's parliament approved a law that would ratify the DTA and an accompanying Protocol signed between Latvia and India on December 19,

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Latvia: changes of VAT code 2014

22 December, 2013

The following changes have been taken place under the Latvian VAT code which will come into effect in January 2014. The requirement to appoint a VAT fiscal representative by non-resident taxable persons is withdrawn. For advertising costs, the

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Latvia: Parliament amends the Micro-enterprise tax law

08 December, 2013

According to the amendments a natural or legal person who is a member of a partnership can’t be a micro-enterprise tax payer. The proposal will come into force from July 1, 2014 so that a partnership member can withdraw his/her membership within

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Latvian Parliament approves the State budget for 2014

08 December, 2013

The Latvian Parliament approved the Law on the State Budget for 2014, the Law on Medium-Term Budget Framework for 2014–2016 and amendments to 37 budget-related laws on November 7, 2013. Next year, Payments made from the Maintenance Guarantee Fund

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Latvia adopts 2014 budget project in the first reading

06 November, 2013

On October 17, 2013 the Latvian parliament adopted the draft of the 2014 budget, a draft of the medium-term budget for 2014-2016 and 38 related amendments in the first reading. Next year’s budget revenue is planned at EUR 7 billion, and expenses

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Latvian Government approves the national 2014 budget

06 November, 2013

On 1st October 2013 the Latvian government approved the national budget for 2014 with the budget deficit planned at up to 0.9 percent of GDP. Revenues to the central government consolidated budget next year are planned at 7.004 billion Euros and

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Latvia –Mexico: Treaty enter into force

17 February, 2013

The treaty between Latvia and Mexico for the avoidance of double taxation which was signed on 20 April 2012 is to enter into force on 2 March 2013. The maximum withholding tax on dividends is 10%, reduced to 5% where the recipient company is the

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Income Tax Treaty between Latvia and Turkmenistan enters into force

11 December, 2012

Latvia and Turkmenistan signed an Income Tax Treaty on 11 September 2012. This treaty came into force on 4 December 2012 and will be applicable from 1 January 2013. The treaty generally follows the provisions of the OECD Model, but the definition

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