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VAT Rates in Lithuania

Updated Lithuanian VAT rate tables

In Lithuania, the prevailing standard tax rate stands at 21%. However, there are specific provisions within Article 19 of the Lithuanian VAT Law that establish a reduced rate of 9% for various types of supplies, such as home heating and printed materials.

Moreover, certain products and services related to medicine and health are subject to a further reduced VAT rate of 5%. Additionally, there are transactions that fall into either the category of zero-rated or VAT exempt.

Read more regarding VAT rates in Lithuania in our comprehensive guide below.

VAT country guide Lithuania

VAT Rates in Lithuania

Standard VAT rate
A standard VAT (Value-Added Tax) rate is each country’s most typical VAT rate applied to goods and services. It is applied to the majority of goods and services, with some exceptions, such as essential items or other specific goods or services that may have a reduced rate and are presented below.
Rate Good or Services
21% All goods or services not included in the reduced rates table below
Reduced VAT rates
Certain goods and services are eligible for reduced VAT rates.  as essential items or other specific goods or services that may have a reduced rate and are presented below.
Rate Good or Services
9%  “First Reduced rate” – This is relevant for goods and services such as home heating and printed materials.
Physical and electronic books and non-periodical publications (e.g. exercise books, manuals, brochures, children’s picture and coloring books, and printed music or manuscript books)
Passenger transport by regular routes as determined by the Ministry of Transport and Communications or by municipalities, as well as transportation of passenger luggage in such transport
Tourist accommodation services
Supply of firewood and wood products used for residential housing heating purposes
Catering services and take-away food (excluding alcoholic beverages and related services) provided by restaurants, cafeterias and similar establishments until December 31, 2023
Attendance at artistic, cultural and sporting events (unless exempt) until June 30, 2023
Performance services provided by performers (including actors, musicians, dancers and singers) until December 31, 2022.
5%  “Second reduced rate”
  Medicines and medical aid equipment, if the acquisition costs are compensated in whole or in part under the Law on Health Insurance
  Non-reimbursable prescription medicines
  Technical support and maintenance of devices for disabled persons
  Supply of newspapers, magazines, journals, and other periodical publications (excluding publications mainly used for advertising purposes and publications with erotic and/or violent content, or those that do not comply with professional ethics).
6% Special Scheme  Small farmers are eligible for a special scheme that allows them to receive a flat-rate compensation of 6%.
0% Zero rated products
The export of goods
Intra-Community supply of goods
Goods that are exported by individuals residing outside the EU, provided that the value of the goods does not exceed a certain amount set by the Lithuanian government
Supply, maintenance, repairs, modification, modernization, and hiring out of seagoing vessels used for transportation of passengers or goods on international routes or for other services for reward, of seagoing fishing vessels, and of vessels used for rescue or assistance at sea
Supply and hiring out of aircraft to taxable persons who receive more than half of their annual income from transporting passengers and/or cargo on international routes and related services
Resources supplied to vessels and aircraft mentioned above.
Services directly related to the import and export of goods, including transportation
Transportation of passengers and their luggage on international routes
Insurance and financial guarantees specifically tied to the export of goods
Goods and services intended for diplomatic missions, consular institutions, EU institutions, and international organizations, as well as their staff and family members
Gold intended for the European Central Bank and the system of European Central Banks
Goods provided to Lithuanian recipients of sponsorship, who transport them as sponsorship outside the EU to organizations that could also be recipients of sponsorship under Lithuanian laws
Maintenance and recycling of goods under inward-processing.
Exempt From VAT
Goods and services related to healthcare
Welfare services aimed at protecting the rights of minors
Education
Services related to sports and culture provided by nonprofit legal entities
Postal services
Radio and television services
Insurance and financial services (Note: there may be exceptions)
Lotteries and gambling
Postage stamps
Certain services provided by political parties, trade unions or other nonprofit legal entities and independent groups to their members
Certain services and goods supplied by religious communities and organizations to their members
Sale or transfer of land, except for building purposes or new buildings located on it
Leasing of immovable property, except for hotels, motels, camping sites, residential property for a term not exceeding two months, and premises for parking or storage of transport.
The sale or transfer of immovable property is eligible for VAT exemptions, but this does not apply to the sale of new buildings.
Independent groups can provide tax-exempt services to their members who are engaged in public interest tax-exempt activities. These services must be directly necessary for the members’ activities, and the cost of the service should reflect the member’s portion of the total cost incurred.


 

 

Because of the global pandemic, COVID-19, several countries introduced temporary modifications to their VAT rates in response to the economic fallout. The most common are the reductions in VAT rates in sectors which are most affected by this situation. Follow our VAT updates page in order to be updated on all the latest developments on VAT and all the latest VAT rates.

 

 

 

Last Updated: 03/11/2023

Disclaimer

The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax

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