Financial Services, Latvia, Legislation, Markets and Companies, Taxation
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Friday, 26.04.2024, 13:11
Over 44,373 business operators pay micro enterprise tax in Latvia in early January
From September 1, 2010, when the micro enterprise tax was introduced in Latvia, till January 1, 2018, Latvian authorities have received a total of 92,655 applications from tax payers seeking the status of micro enterprise tax payers but some of those applications were rejected.
Among payers of micro enterprise tax 43,851 were legal entities, 42,233 were individuals, while 3,274 were individual merchants.
The Latvian government has adopted amendments to the regulations about taxation of micro enterprises under which micro enterprises with annual turnover below EUR 40,000 will be paying a 15% tax and the 20% tax will be applied to the turnover in excess of EUR 40,000 starting from this year.
In addition, the tax rate will be increased by two percentage points for each employee in case the micro enterprise had employed more than five people in any quarter or there are people among its employees, who work for more than one micro enterprise.