Lithuania Accounting and Tax Services
Many international clients engage Tetra Consultants for Lithuania accounting and tax services. By outsourcing your Lithuania accounting and tax obligations to Tetra Consultants, you can be confident that you will be in the best hands. Our team of consultants will ensure that your firm’s financial statements, corporate tax returns and audits are timely completed without the need for you to travel.
Additionally, outsourcing your accounting and tax needs to Tetra Consultants will allow you to reduce overhead costs while be ensured of timely reporting and filings. Before the start of the engagement, our accounting team will also keep you updated of all the required deadlines and expectations. Thereafter, we will prepare all required filings in advance to ensure that the stipulated deadlines are met.
Annual Reporting Requirements
- An audit requirement is imposed on all public and private companies who meet 2 out of 3 criteria as per following:
(i) revenues from sales exceeded kEUR 3,500 over the past accounting year;
(ii) employed at least 50 workers over the accounting year; and
(iii) assets on the balance sheet exceeded kEUR 1,800
- The financial fiscal year for all Lithuania companies begins on 1 January and ends on 31 December.
- Typically, companies have to submit their annual report within 4 months from the end of the company’s financial year.
- Generally, the Annual Financial Statements submitted should include an Annual Balance Sheet, Profit and Loss Account, Notes and the Auditor’s Report.
- Documents have to be kept in the official language, Lithuanian. As such, our dedicated team of consultants will ensure to translate and maintain records of your annual report in both English and Lithuanian.
Lithuania Corporate Income Tax
- Lithuania’s corporate income tax rate is imposed at a 15% charge.
- For smaller companies with less than 10 employees and an annual turnover of not more than €300,000 in income are subjected to a 0% tax rate imposed on its profit for the first year and a subsequently reduced rate of 5%.
- Corporate income tax returns are mandated to be submitted not any later than the 1st day of the 6th
- Foreign companies not based in Lithuania can expect to only be charged a payable amount of tax fees for the profits generated from its business activities located in Lithuania.
Lithuania Withholding Tax
- The pay-out of dividends is subjected to a withholding tax of 15%.
- This 15% tax charge is applicable to both Lithuanian and foreign enterprises.
- Provided the recipient owned less than 10% of the company’s shares for minimally 12 months, otherwise, withholding tax is not exempted.
Lithuania Value Added Tax
- Resident businesses have to register as VAT payers if their income exceeds EUR 45 for a period of 12 months.
- As for foreign entities, registering for VAT or appointing a fiscal agent is not exempted if they are involved in the supply of goods or providing services that are not VAT exempted.
- Generally, a standard VAT rate of 21% applies to most categories of items. However, you may also find a further reduced rate of 5% for medical products or a reduced rate of 9% applicable for heating and hot water supplies, books, accommodation, firewood and wood products as well as transport services.
Contact us now to find out more about Lithuania accounting and tax services. Our team of experts will revert within the next 24 hours.