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Key takeaways
- Lithuania VAT rates: The standard VAT rate is 21%, with reduced rates of 12% and 5%, plus a 0% rate for intra-EU and international transport.
- Registration threshold: Businesses must register once turnover exceeds €45,000, while non-EU companies are required to appoint a fiscal representative.
- Filing & penalties: VAT returns are filed monthly, quarterly, or bi-annually, with late filings fined up to €390 and daily interest on unpaid VAT.
Lithuania VAT key facts (2026)
| Item | Lithuania |
|---|---|
| Standard VAT rate | 21% |
| Reduced rates | 12%, 5% |
| Registration threshold (domestic businesses) | €45,000 (current or previous calendar year) |
| Registration threshold (non-resident businesses) | None – register from first taxable supply. €10,000 EU-wide distance-selling threshold for B2C sales (OSS available). |
| VAT return filing frequency | Monthly; quarterly option if previous-year income ≤ €300,000 |
| E-invoicing status | B2G mandatory since 2017 (SABIS); monthly i.SAF invoice registers; no B2B mandate |
| Fiscal representative required for non-EU businesses? | Yes – non-EU businesses must appoint one |
Register for VAT in Lithuania with Taxually: CrossTax handles your Lithuania VAT registration, returns and fiscal representation.
If you’re planning to expand your business into Lithuania, it’s important you have a good understanding of the local Value Added Tax (VAT) system. This guide provides essential information about the Lithuania VAT system to help you navigate the complexities of VAT compliance there.
Updated October 2026: Rate table corrected to the 12% and 5% reduced rates in force since 1 January 2026, 2026 Intrastat thresholds updated, and new sections added on e-invoicing (SABIS, i.SAF, i.VAZ) and the EU VAT SME scheme.
What is the Lithuania VAT Rate?
In Lithuania, VAT is known as Pridėtinės vertės mokestis (PVM). Lithuania has a standard VAT rate of 21% and, since 1 January 2026, two reduced rates of 12% and 5%. There is also a 0% Lithuania VAT rate for intra-community and international transport.
| Type of VAT | VAT Rate | Applicable Goods/Services |
|---|---|---|
| Standard VAT | 21% | All other taxable goods and services. |
| Reduced VAT rate (1) | 12% | Includes accommodation, passenger transport, and arts and cultural events. |
| Reduced VAT rate (2) | 5% | Certain goods and services including medical equipment, pharmaceutical products, newspapers and periodicals, and (since 1 January 2026) books and non-periodical publications. |
| Zero rate VAT | 0% | Intra-community and international transport. |
On 1 January 2026, Lithuania abolished its 9% rate. Accommodation, passenger transport and arts and culture events moved to 12%. Books and non-periodical publications moved to 5%. Central heating, hot water and firewood are now taxed at the standard 21%, according to the Seimas of Lithuania.
Registering for VAT in Lithuania
Businesses based in Lithuania with an annual turnover exceeding €45,000 must register for VAT. Since 1 May 2025, this threshold is measured over the current or previous calendar year, not the last 12 months. There is no threshold for non-resident companies.
The EU-wide distance selling threshold of €10,000 applies in Lithuania. Above this limit, a seller must charge Lithuanian VAT on sales to Lithuanian consumers, either through the EU One-Stop Shop (OSS) or by registering for VAT in Lithuania. If you store goods in Lithuania or participate in a fulfillment program, such as FBA (Fulfilled-by-Amazon), which includes Lithuania, VAT registration is also mandatory.
The registration process involves submitting the necessary forms and documentation to the Lithuanian State Tax Inspectorate. Once the application has been received and processed, a unique Lithuania VAT number will be issued to the company within four weeks.
Fiscal representative in Lithuania
Non-EU businesses must appoint a fiscal representative in Lithuania. This representative will be jointly responsible for the company’s Lithuania VAT compliance.
Lithuanian VAT return filing and penalties
In most cases, Lithuania VAT returns are filed monthly. Companies can choose quarterly filing if their previous-year income was no more than €300,000 and they make no EU purchases on which they must self-account for VAT. Individuals registered for VAT file half-yearly by default.
The deadline for filing is the 25th of the month following the reporting period, and all VAT returns must be submitted electronically.
Penalties for late filing or payment include fines and interest charges. A missed Lithuania VAT return will incur a fine of between €200 to €390 and daily late-payment interest is charged on any unpaid VAT. The Ministry of Finance reviews this rate regularly; it is 0.027% per day from 1 August 2026.
E-invoicing and digital reporting in Lithuania
E-invoices are mandatory for sales to public sector buyers, but not for B2B sales. Instead, the State Tax Inspectorate (VMI) collects invoice data from VAT payers through regular electronic reports.
- B2G: structured e-invoices have been required in public procurement since 1 July 2017. Since 2024 they go through the state platform SABIS, which replaced E.sąskaita. Suppliers can use the SABIS portal, an API or Peppol, in Peppol BIS Billing 3.0 format (European Commission).
- i.SAF: VAT payers submit registers of issued and received VAT invoices by the 20th day of the month after the tax period (VMI). This also applies to non-residents registered for Lithuanian VAT.
- i.SAF-T: VMI can request a full accounting data file, usually during an audit. It must be provided within 30 days of the request.
- i.VAZ: waybill data for goods transported within Lithuania has been reported to VMI since 1 October 2016 (VMI).
- B2B: e-invoices between businesses are optional and need the buyer's agreement.
Under the EU's VAT in the Digital Age (ViDA) package, digital reporting for cross-border B2B trade starts on 1 July 2030 (European Commission).
Can small EU businesses avoid VAT registration in Lithuania?
Yes, if they use the EU VAT SME scheme. Since 1 May 2025, a small business from another EU country can sell in Lithuania without registering for Lithuanian VAT if it meets three conditions:
- Its total EU turnover is no more than €100,000 in the calendar year.
- Its Lithuanian sales are no more than €45,000 in the calendar year.
- It is registered for the scheme in its home country and has a VAT number ending in "EX".
Sales under the scheme are exempt from VAT, so the business cannot deduct input VAT. The same amendment changed how the €45,000 domestic threshold is measured. It now looks at the previous calendar year or the expected current-year amount, not the last 12 months (KPMG Lithuania).
Lithuanian Intrastat declarations
Both resident and non-resident businesses engaged in trade within the EU must file Intrastat declarations if certain thresholds are met. The 2026 thresholds for Intrastat declarations in Lithuania are €600,000 for arrivals and €400,000 for dispatches. The deadline for submission of declarations is the 10th of the month following the supply of goods.
Reverse charge in Lithuania
The reverse charge mechanism in Lithuania applies to certain goods and services, shifting the VAT payment responsibility from the supplier to the recipient. This mechanism is commonly used in cross-border transactions within the EU, for specific industries, and for some domestic supplies.
Frequently asked questions
What is the VAT rate in Lithuania?
Lithuania’s standard VAT rate is 21%, with reduced rates of 12% (for accommodation, passenger transport and cultural events) and 5% (for books, medicines, medical devices and newspapers). These rates apply since 1 January 2026. A 0% rate applies to intra-EU and international transport.
When do I need to register for VAT in Lithuania?
Resident businesses must register once annual turnover exceeds €45,000. There is no threshold for non-resident businesses. The EU-wide distance selling threshold is €10,000.
How do I register for VAT in Lithuania?
Applications are submitted to the Lithuanian State Tax Inspectorate. Once approved, your business will receive a Lithuanian VAT number within around four weeks.
Do foreign businesses need a fiscal representative in Lithuania?
Yes. Non-EU companies must appoint a fiscal representative, who is jointly liable for VAT compliance and payments.
How often must VAT returns be filed in Lithuania?
- Monthly – standard frequency for most businesses
- Quarterly – if annual turnover is below €300,000
- Half-yearly – the default for individuals registered for VAT
Returns must be filed electronically by the 25th of the following month.
Are Intrastat declarations required in Lithuania?
Yes. Intrastat returns are required if EU trade exceeds the 2026 thresholds of €600,000 (arrivals) or €400,000 (dispatches). Submissions are due by the 10th of the following month.
