Business, Economics, Latvia, Legislation, Markets and Companies

The goal is for Latvia to reach 25^th place in the World Bank’s Doing Business ranking by 2010, and 19^th place by 2013. The ranking lists the “ease of doing business” in the world’s countries.

The plan was developed after a survey of Latvian businesses and a thorough review of existing problems that hamper effective business practices in Latvia. Although Latvia presently stands at 27^th place in the global Doing Business ranking, it is listed among the top 10 EU members states, and surpasses Austria, the Netherlands and France.

In order to achieve the country’s goal, the plan includes 23 different measures within different aspects of business management. The plan for 2010 includes:

Establishment of entrepreneurship:

• Introducing an electronic registration system of companies;
• Decreasing the number of documents needed for registration;
• Publication of official documents;

Tax administration:

• Reducing days to register VAT payer;
• Establish fixed tax for micro-enterprises;
• Promoting the creation of distribution centres;

Customs administration:

• Determining the procedure for freight direction physical control;
• Combining application forms for tariff quota and surplus tax refund, reducing time of delivery of non-preferential export origin certificates;

E-government:

• Utilisation of e-signature (establishing regulations for original documents and derivatives, use of requisites);
• Preparation of an action plan of one-stop-shop implementation to access state’s and municipalities’ services.

The government’s Entrepreneurship Environment Improvement Plan of 2009 was also evaluated as having produced the following results:

Tax policy and administration:

• VAT administration system improved;
• Consignment bills with numbers allotted by the State Revenue Service annulled;
• Transit customs declaration procedures simplified;
• Internet banking payment printouts accepted as payment attesting document;

Insolvency process:

• Remedy execution term extended to two years, number of creditors’ votes for remedy execution decreased to simple majority;
• Demand to approve bankruptcy procedure by court excluded;

Immovable property registration:

• Registration time at the Land Register decreased to 10 days;
• No submission of immovable property tax payment notice in paper;
• All Land Register offices accept electronic payments;

Construction:

• Demand to approve bankruptcy procedure by court excluded;
• Conception of building cadastral survey process development developed;
• Hygiene demands for certain types of buildings abolished;

Tourism:

• Circulation of foreigners’ registrations for tourism operators simplified;
• Certification request for tourism guides cancelled.

Based on information provided by the Ministry of Economics.