Rise to 12% for accommodation, sport, culture and passenger transport Jan 2026 The Lithuanian parliament has approved on 17 June 2025 raising the 9% reduced rate up to 12% rate from 1 January 2026. The standard 21% VAT rate remains unchanged, as would the 5%
VAT rises to support defence spending The Lithuanian Ministry of Finance has proposed a range of tax rises, including changes to the reduced VAT rates, to fund a rise in defence spending. This follows the Russian invasion of Ukraine. The proposed changes in the VAT
Baltic state debates phased threshold from €45,000 to €85,000 by 2027 Lithuania Parliament is debating a three-phased rise in the annual sales threshold for mandatory VAT registration threshold. It would rise eventually to €85,000, the highest permitted under the new, 2025 EU SME VAT registration. This
2025 Annual threshold for intra-community goods arrivals reporting hiked Lithuania has announced the increase in its annual threshold for the reporting of Intrastat from 1 January 2025. This includes reporting statistical values. The new thresholds are: Dispatches: unchanged at €400,000 Arrivals: rising from €550,000 to
Zero-VAT measure until April 2025 Lithuania is progressing a Bill to reclassify the supply of residential fuel and hot water from the 9% reduced rate to zero. The measure, not in Parliament, would come into effect between 1 November 2024 and 30 April 2025. Economist
Government considering VAT and other tax rises to fund military spending Following the Russian invasion of Ukraine in 2022, Lithuania is looking at a 1% VAT increase to 22% to help meet additional military spend. Estonia VAT increased at the start of this year to
Tender launched for electronic invoicing service launch based on EU standard on eInvoicing (EN 16931) Lithuania has started on the long road to introduce electronic invoicing for taxpayers. This will be based on the EU standard on eInvoicing (EN 16931). The Ministry for the Economy has started
Shift from 21% standard rate to 9% reduced rate; other reduced rate changes The Baltic state of Lithuania is considering in parliament a fill to reduce the VAT rate on electronic books and publications to 9%. This follows most other EU states which have harmonised
