Tax system of Latvia

The tax system of Latvia has been adapted to the tax guidelines of the EU due to its accession to the EU. Individuals are subject to income tax. A proportional tax rate of 25 % will be charged. In the case of employees, income tax is withheld by way of wage tax. There is no wealth tax, inheritance or gift tax.
Corporations and certain other companies are subject to corporation tax. It is a classic corporate tax system, the tax rate is 15 %. the value added tax is based on the model of the EU as an all-phase tax Input tax deduction erhoben. Der normale Steuersatz beträgt 18 %, der ermäßigte Satz 9 %. Es bestehen rund 30 DBA, die weitgehend dem OECD-MA entsprechen. Ein Außensteuerrecht existiert nicht.