Taxation in Lithuania

We provide VAT registration services for foreign companies that are established in the EU.

Foreign entity is obliged to register for VAT purposes in Lithuania if its activity is subject to VAT in Lithuania. General principle is that there is no minimum threshold for VAT registration for foreign companies (except specific cases, e.g. distance sales).

The company is required to register for VAT purposes in Lithuania if the amount of distance sales exceed EUR 35 000. Please be noted that voluntary registration is also possible.

Actual activity of the company should be evaluated, it may create tax obligations related to VAT, Corporate Income Tax (CIT) (if permanent establishment is created or the withholding tax is deducted), Personal Income Tax (PIT), payroll and other obligations. If you have any doubts, please contact us and we would be happy to discuss possible obligations.

Leinonen Lithuania’s tax advisors can support your company in preparing various tax returns (VAT, CIT, PIT, real estate tax, etc.) based on accounting data prepared by your accounting team. We also assist companies in preparing various internal policies, preparing inquiries to the authorities, representing the company during tax investigations and communication with the authorities.