What are the taxes
Tax rates in Latvia
| Tax | Rate | Explanation |
|---|---|---|
| VAT | 22% | Obligatory registration as a VAT payer if turnover during previous 12 months exceeds 35,000 LVL (approx. 49,800 EUR) |
| Corporate income tax | The standard rate -15%. For micro companies – 9% (Turnover may not exceed 70,000 LVL (approx. 100,000 EUR) during the financial year. Supposing turnover exceeds 70’000 LVL; tax rate for exceeded part will be 20%.The number of employees may not exceed 5). | |
| Dividend tax | 10% | For natural persons 10% For legal persons, except for dividends paid out to resident of other European Union or European Economical Zone country |
| Personal income tax | 25% | |
| Social security contributions | 11% | Employee’s contribution |
| 24.09% | Employer’s contribution | |
| Real property tax | 0,2 – 1,5% | Depends on the form of real property |