Lithuania Corporate Tax Rate
January 2025Starting January 1, 2025 the new corporate income tax rate in Lithuania is 16% compared to the previous 15% rate.
There are no significant changes regarding VAT and personal taxation in Lithuania.
Lithuania income tax in 2023
July 2023From 1.1.2023, the higher 32% personal income tax for the income exceeding the threshold of 101,094 euros (EUR) should be applied.
Employment income exceeding the EUR 101,094 threshold is subject to a lower rate of social security contributions at 6.98%.
Lithuania Japan Tax Treaty
July 2017The two countries signed on July 13, 2017 a double tax treaty, DTA. According to the DTA the tax withholding rates will be 0%/10% for payment of dividends and 0%/10% for payment of interest.
Lithuania V.A.T. Update
February 2013Starting January 2013 sale and repair of equipment for the disabled is subject to the super reduced V.A.T. rate of 5%.
Public transport services are subject to the reduced 9% rate.
Lithuania Immovable Tax Update
February 2012Starting 1.1.2012 individuals pay annual 1% tax on immovable property with value exceeding Lt. 1 million.
Immovable assets of parents and children under 18 are treated as one unit for tax calculation.
Lithuania Tax Updates 2011
June 2011There are some significant changes in the 2011 legislation. Capital gain from the sale of immovable property bought after 1.1.2011 and held at least for five years before the sale is tax exempt. The application of the reduced 9% V.A.T. rate for books was extended without limit . A new reduced 9% V.A.T. rate was introduced in 2011 for hotel accommodation, being effective till 31.12.2011.
Lithuania New V.A.T. Rate
October 2009From September 1, 2009 the standard V.A.T. rate in Lithuania increased to 21%, compared to the previous 19% rate.
Lithuania Tax Rates 2009
February 2009From 1.1.2009 there are some significant tax changes compared to 2008.
The Lithuanian corporate tax rate in 2009 is 20%, compared to 15% in 2008.
The personal income tax rate is 15%, except for dividend income which is taxed at 20%. Many tax exemptions for individuals have been cancelled or reduced.
The standard VAT rate in 2009 is 19%, compared to the previous 18% rate.
The previous reduced VAT rates of 9% and 5% are abolished.
Lithuania Tax Rates 2008
February 2008In 2008 the flat tax rate for labor income of individuals is 24%, compared to 27% in 2007.
The corporate tax rate is 15%. The standard VAT rate in Lithuania is 18%. there are also reduced VAT rates of 9% and 5%.
Lithuania Income Tax 2006
July 2006- From 1.17.2007 the new tax rate for labor income was reduced from 33% to 27%. The tax rate would be reduced from 1.1.2008 to 24%.
- From 1.1.2007 interest income from deposits in EU banks would be tax exempt in Lithuania.
Lithuania Double Taxation 2006
January 2006From 1.1.2006 Lithuania has two new double taxation treaties.
The new treaties are with Austria and Luxemburg.
Note: The information in this site is for general guidance only. Users of this site are advised to take professional advice before taking practical tax decisions.
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