Lithuania: MoF presents draft budget, expands list of corporate tax exempt entities
Lithuania’s 2026 draft Budget proposes halting the planned increase in CO2 excise duty on diesel and introducing a corporate tax exemption for the National Development Bank. Lithuania’s Ministry of Finance has presented the 2026 draft Budget
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Lithuania extends tonnage tax regime for shipping companies
The amendment specifically revises Article 381, paragraph 5, which governs the eligibility and application of this alternative corporate tax method. The Ministry of Transport and Communications of Lithuania published an amendment to its Corporate
See MoreLithuania: VMI launches automated excise tax declaration wizard
From 1 September, the system transferred data automatically, simplifying declarations and reducing manual input. Lithuania’s State Tax Inspectorate (VMI) has introduced a new wizard system for submitting excise tax declarations. The tool
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Lithuania: VMI updates crypto reporting rules
Under Article 55 of the Law on Tax Administration (MAĮ) and the Law on the Bank of Lithuania, certain entities must notify the VMI of all opened and closed accounts within three business days, using an XML format. Lithuania’s State Tax
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Lithuania: State Tax Inspectorate clarifies DAC6 reporting rules
The State Tax Inspectorate of Lithuania published an updated commentary on 13 October 2025 regarding Article 61-2 of the Law on Tax Administration, which implements the EU Amending Directive 2018/822 (DAC6), requiring reporting of certain
See MoreLithuania: Government approves draft order for crypto-asset service providers, financial institutions under DAC8
Lithuania approved DAC8 rules imposing new reporting and due diligence obligations on crypto-asset providers and financial institutions from January 2026. The Lithuanian government has approved a draft order implementing Council Directive (EU)
See MoreLithuania imposes fines for crypto reporting, account disclosure breaches
Lithuania’s parliament is introducing strict administrative fines for crypto-asset service provider non-compliance, failures to provide accurate information to tax authorities, and breaches of accounting, reporting, and inspection procedures, with
See MoreLithuania adopts excise tax on sweetened drinks from 2026
Lithuanian Parliament approved an excise tax on sweetened drinks from 1 January 2026 to promote healthier consumption and fund the State Defence Fund. The Lithuanian Parliament (Seimas) has adopted amendments to the Law on Excise Duty,
See MoreLithuania tax authority revises guidance to clarify corporate tax rates
From 2026, Lithuania will set the corporate income tax rate at 17% for local entities and PEs, apply a 10% flat tax to certain income of foreign entities without a PE, and allow small businesses under EUR 300,000 annual revenue to pay 0% tax for the
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Pakistan, Lithuania sign income tax treaty
The agreement aims to prevent double taxation on income and capital between the two countries while addressing tax avoidance and evasion issues. Pakistan’s Foreign Ministry announced, on 24 September 2025, that Pakistan and Lithuania signed an
See MoreLithuania: Parliament reviews investment incentive for select municipalities
Lithuania plans to reduce taxable profit for companies investing in designated municipalities, allowing up to a 100% deduction on eligible fixed asset costs from 2026. The Lithuanian parliament (Seimas) is reviewing a draft bill proposing a
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Lithuania implements DAC8 and APA rollback in tax law amendments
Lithuania has amended its tax law to implement DAC8, APA rollback, and update reporting, VAT, GDPR, and penalty rules, which take effect on 1 January 2026. Lithuania adopted amendments to the Law on Tax Administration on 30 June 2025, which
See MoreLithuania extends corporate income tax exemption for large-scale investment projects
Under the amended Corporate Income Tax (CIT) Law, companies undertaking qualifying projects may receive tax relief for up to 20 tax years. Lithuania has extended its corporate income tax exemption for large-scale investment projects under a new
See MoreLithuania: Parliament approves loss carryforward clarification as part of tax reform package
Lithuania’s parliament has approved changes to loss carryforward rules, capping annual use at 70% of taxable income from 2026, with exceptions for certain low-rate taxpayers, as part of a broader tax reform to support the Defence Fund. The
See MoreLithuania: Seimas advances tax reform package to boost defence funding from 2026
Tax reforms to fund defence are targeting over EUR 500 million in annual revenue from 2027. The Lithuanian Parliament (Seimas) has approved for further consideration of a package of tax law amendments designed to increase state revenues,
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Lithuania, Vietnam sign letter of intent for income tax treaty
Lithuania and Vietnam signed a letter of intent on 12 June 2025 to negotiate their first income tax treaty, which will take effect after finalisation and ratification. Lithuania’s Ministry of Finance has announced that representatives from
See MoreLithuania: Government approves revised tax reform proposals
Lithuania's Government approved the tax law amendments proposed by the Ministry of Finance. These were updated after the Ministry reviewed suggestions from more than 200 associations, individuals, lobbyists, and institutions. Compared to the initial
See MoreLithuania tightens DAC7 rules for platform operators and cross-border data exchange
Lithuania’s State Tax Inspectorate has amended Order No. VA-95 to align with the EU’s DAC7 Directive on 23 April 2025. From 24 April 2025, all platform operators—including those represented by another operator—must file an annual XML
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