International Internet Magazine. Baltic States news & analytics
Tuesday, 10.12.2013, 05:21
Inviolable capital funds to operate in Lithuania
"There are many prosperous people in Lithuania or related to it who may want to support major public projects by contributing large amounts of money, but so far there were neither the infrastructure nor the legal framework to ensure that money will not be wasted, but used effectively and safely. I'm glad that legal barriers were demolished and the green light was casted on funds allowing them to operate as they already do abroad", said Minister of Justice Remigijus Simasius Thursday, informs LETA/ELTA.
The new Law on Charity and Support legislates that charity institutions will be able to invest support money when the operated amount accounts for not less than LTL 250,000 (EUR 72,405).
The profit gained from the invested funds will not be taxed, instead it will be used exclusively for projects beneficial to the public, and only 1/20 of yearly investment income will be allocated to cover administrative cost.
Currently there are approximately 1300 charity and support funds registered in the National Register of Legal Persons.