Tax authorities
Ministry Of Finance
J Tumo Vaizganto 8a/2, 01512 Vilnius, Lithuania
Tel: +370 5 239 0005
Fax: +370 5 279 1481
Website: www.finmin.lt
Tax rates at a glance
(As of September 2009)
| Corporate profit tax rate (%) |
15(a) |
| Capital gains tax rate (%) |
15(b) |
| Branch tax rate (%) |
15(a) |
Withholding Tax (%) (c) |
|
| Dividends |
0/15(d) |
| Interest |
10(e) |
| Royalties and know-how |
10(e) |
| Sale, rent or other transfer of real estate located in Lithuania |
15(e) |
| Compensation for violations of copyrights or related rights |
10(e) |
Net operating losses (years) |
|
| Carryback |
0 |
| Carryforward |
5/Unlimited(f) |
(a) This is the standard rate of profit tax. Reduced rates apply to small companies and to companies registered and operating in free-economic zones that satisfy certain conditions.
(b) In general, capital gains are included in taxable profit and are subject to tax at the regular profit tax rate. A capital gain derived from the sale of shares of a company registered in a EEA country or in another tax treaty country is exempt from tax if the shares have been held for at least two years and if the holding represents at least 25% of shares of the company throughout that period. This rule does not apply if the shares are sold to the issuer of the shares.
(c) The withholding tax rates may be reduced by applicable tax treaties.
(d) The rate is 0% if the recipient is a company (not located in a tax haven) that holds 10% or more of the shares of the payer of the dividends for a period of at least 12 months. The dividend withholding tax is a final tax.
(e) These withholding taxes apply to payments to nonresident companies.
(f) Losses from disposals of securities and derivative financial instruments may be carried forward five years to offset gains derived from disposals of such items. Losses from the disposal of shares of companies registered in an EEA country or in another tax treaty country cannot be carried forward if the shares have been held for at least two years and if the holding represents at least 25% of shares of the company throughout that period. However, these losses can be offset against capital gains derived from disposals of securities and derivative financial instruments in the current year. Other losses may be carried forward for an unlimited period, unless the entity ceases to carry on the activity that resulted in the loss.
Source: Ernst & Young