VAT Atlas · entry № 16 · current as of April 2026
🇱🇻
Republic of
Latvia
Member of EU · Euro · code LVStandard VAT rate, reduced categories, registration thresholds, and e-invoicing rules for Latvia.
Standard rate
21%
Reduced 12% food, hotels, public transport, pharmaceuticals
Reduced 5% fruit, vegetables, books
Zero-rated 0% exports, intra-EU supplies
Threshold 40 000 EUR
Filing Monthly
§ Invoicing rules what you need to know
Tax authority Valsts ieņēmumu dienests (VID)
Invoice language Latvian
Reverse charge Reverse charge applies to intra-EU B2B services, construction services, timber, scrap metal, and supplies of cereals and industrial crops.
Digital services B2C digital services to Latvian consumers are taxed at 21%. Non-EU suppliers must register via the OSS scheme.
Penalties Late VAT filing triggers a penalty of up to €150 per late return. Late payment incurs interest at 0.05% per day on the unpaid amount.
Invoice requirements
- Sequential invoice numbering required
- Both parties’ VAT registration numbers must be shown
- Invoice must include the date of supply and date of issue
- Tax base, VAT rate, and VAT amount must be separately shown
- Invoices must be stored for 5 years
Frequently Asked Questions
What is the standard VAT rate in Latvia?
The standard VAT rate in Latvia is 21%.
What are the reduced VAT rates in Latvia?
12% (Reduced): applies to food, hotels, public transport, pharmaceuticals. 5% (Reduced): applies to fruit, vegetables, books.
What is the VAT registration threshold in Latvia?
The VAT registration threshold in Latvia is 40 000 EUR.
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