Baltic States – CIS, Latvia, Legislation, Taxation, Transport

The exemption also applies on trailers and semi-trailers above ten tons in mass. The exemption applies to trucks for one year if they have previously paid a one-year road toll.

According to the ministry, a total of 4,094 international road transport companies with almost 14,500 trucks and 20,000 employees are currently operating in Latvia. About 70 percent of international cargo shipments are transported to and fro Russia. Thus, it is expected that road transport companies will be the ones to suffer the largest losses.

The ministry stresses that road transport companies are subjected to a much larger tax burden due to the implementation of road toll since July 1, 2014, applied to trucks that weigh more than 3.5 tons.

The new amendments stipulate that those trucks that will pass the roadworthiness test, will become exempt from the road toll.

The ministry emphasizes that such immunity would allow Latvian road transporters to remain competitive in relation to road transporters from countries such as Lithuania and Poland, and to preserve their place in the market, as well as acquire new markets.

Saeima is yet to approve these new amendments.