Tax & VAT Registrations for Your Business
Ensure full compliance and protect your business’s reputation in Lithuania with our expert tax registration services. Whether you need a VAT number Lithuania, or assistance with other essential tax registrations, we guide you through every step. For foreign companies and businesses operating internationally, navigating Lithuanian tax laws can be complex. We ensure you register for all appropriate taxes based on your company’s activities, preventing penalties and guaranteeing smooth operations.
Tax registrations for businesses in Lithuania
Ensure full compliance and protect your business’s reputation in Lithuania with our expert tax registration services. Whether you need a VAT number Lithuania, or assistance with other essential tax registrations, we guide you through every step. For foreign companies and businesses operating internationally, navigating Lithuanian tax laws can be complex. We ensure you register for all appropriate taxes based on your company’s activities, preventing penalties and guaranteeing smooth operations.
Get Local Experts with In-Depth Knowledge of Lithuanian Tax Regulations for Seamless VAT & Tax Registrations from 1Office.
WHY BUSINESSES TRUST 1OFFICE WITH TAX & VAT REGISTRATION IN LITHUANIA
Providing our customers exactly what they need so their business can thrive.
We can consult and help you apply for various taxes registrations in Lithuania
Our services include completing the necessary paperwork, submitting it to the relevant authorities, and providing ongoing support to ensure compliance with all tax regulations.
VAT Registration (PVM registras):
Required for companies exceeding €45,000 annual turnover, involves collecting and remitting VAT.
Corporate Income Tax Registration (Pelno mokesčio deklaravimas):
Required for all taxable income-generating companies, involves filing annual declarations and paying the calculated tax.
Social Security Contributions (Sodros įmokos):
Required for companies employing employees, it involves registering for contributions and paying to Sodra.
Property Tax (Turto mokestis):
Required for companies owning real estate, it involves registering for tax and paying based on property value.
Support in English, Lithuanian, and Russian throughout the process.
Lithuania VAT rate and corporate tax rate in 2026
Lithuania restructured its VAT reduced rates on 1 January 2026, and both the standard corporate income tax rate and the small company rate rose by one percentage point the same day. Here is what currently applies.
VAT rates in Lithuania
| Rate | Applies to |
|---|---|
| 21% (standard) | Most goods and services |
| 12% (reduced) | Accommodation, passenger transport, catering, and admission to art and culture institutions and events. This replaced the former 9% rate from 1 January 2026. |
| 5% (reduced) | Medicines, medical aids, and printed or electronic publications |
| 0% | Exports and intra EU supplies of goods |
VAT registration becomes mandatory once a Lithuanian established company's annual taxable turnover exceeds €45,000. Non-resident businesses have no threshold and may need to register from their first taxable supply, and companies purchasing digital services from abroad (Google Ads, Meta, SaaS subscriptions) can trigger registration regardless of turnover.
Corporate income tax rates in Lithuania
| Rate | Applies to |
|---|---|
| 17% (standard) | Lithuanian companies and permanent establishments generally |
| 7% (reduced) | Small companies with annual income up to €300,000, where shareholders are natural persons only |
| 0% | First two tax periods for new small companies meeting the same conditions |
The standard rate rose from 16% to 17%, and the small company rate rose from 6% to 7%, both effective 1 January 2026. The 10-employee cap that previously limited eligibility for the small company rate was also removed, so the rate now depends on income alone.
Source: Valstybinė mokesčių inspekcija (VMI), State Tax Inspectorate of the Republic of Lithuania. Rates verified current as of 2026.
Was your company deregistered from VAT?
Companies that go quiet for a while are often deregistered from the VAT payers register automatically, even if you plan to resume trading. If that’s happened to you, getting your VAT number back isn’t a special process: it’s the same registration application, filed again.
We handle the re-application, make sure your accounting is current enough to support it, and deal with any follow-up questions from the Tax Inspectorate the same way we do for first-time VAT registration.
We've got your back, no matter the business industry.
Most industries in Lithuania require multiple tax registrations, including VAT, corporate income tax, social security contributions, and property tax.
However, the specific tax registrations needed can vary depending on the company’s size, activities, and location. Manufacturing, retail, construction, transportation, financial services, and IT are among the industries that often require the most tax registrations.
To ensure compliance with Lithuanian tax laws, we recommend consulting a local expert and register for the appropriate taxes based on your business’s specific circumstances.
Get in touch with our business advisor
Tõnis Jõgeva
Business Solutions Advisor
“As a Business Solutions Advisor in the Finnish and Swedish markets, I have witnessed exceptional results that our clients have achieved. Our expertise in understanding the complexities of local regulations and providing tailored financial solutions has enabled businesses to thrive and make informed decisions, ensuring their long-term success in these markets.”
Tel: +370 521 401 48
E-mail: [email protected]
Need tax advisory or tax consulting in Lithuania?
Registration is only the first step. Once you’re set up, ongoing questions come up fast: which VAT rate applies to a specific transaction, when a double tax treaty reduces withholding, and how dividend tax works for a non-resident shareholder. Our team provides tax advisory and tax consulting for Lithuanian companies of all sizes in English, Lithuanian, and Russian, so you get a straight answer instead of a guess.
FREQUENTLY ASKED QUESTIONS
We’ll gladly answer your questions about tax & VAT registration in Lithuania.
Who needs to register for taxes in Lithuania?
Any business operating in Lithuania must register with the Lithuanian tax authorities (VMI) if it:
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Forms a Lithuanian UAB
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Starts commercial activity in Lithuania
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Employs staff or pays director remuneration
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Becomes liable for VAT or payroll taxes
Tax registration is a mandatory step after company formation.
What tax registrations are required for a Lithuanian company?
Depending on activity, a Lithuanian company may need:
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Corporate Income Tax (CIT) registration
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VAT registration
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Payroll tax registration (if salaries are paid)
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Social security registration
Not all registrations apply automatically; requirements depend on business activity.
Is VAT registration mandatory in Lithuania?
VAT registration is mandatory if:
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Annual turnover exceeds the Lithuanian VAT threshold
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The company performs certain EU or cross-border transactions
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The business is required to register under specific VAT rules
Voluntary VAT registration may also be possible in some cases.
Can a foreign-owned company register for VAT in Lithuania?
Yes. Foreign-owned Lithuanian companies can fully register for VAT, provided they meet VAT registration conditions.
When should I register for VAT in Lithuania?
VAT registration must be completed before or immediately after VAT-liable activity begins. Late registration may result in backdated VAT liability, interest on unpaid VAT, and administrative penalties. Early assessment helps avoid compliance risks.
How long does VAT registration take in Lithuania?
VAT registration processing time varies but typically takes:
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Several weeks, depending on case complexity
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Longer if additional information is requested by VMI
We monitor the process and handle follow-ups with authorities.
Do I need a Lithuanian VAT number to sell to EU customers?
It depends on:
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Where your customers are located
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The nature of goods or services
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Applicable EU VAT rules
Some EU transactions require VAT registration even below the local threshold.
Each case should be assessed individually.
Do I need an EORI number in Lithuania?
An EORI number is required if your business:
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Imports or exports goods
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Trades with non-EU countries
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Handles customs procedures
We assist with EORI registration where required.
What happens if I don’t register for VAT on time in Lithuania?
Failure to register for VAT when required can result in:
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VAT being charged retroactively
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Interest on unpaid VAT
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Financial penalties
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Increased scrutiny from tax authorities
Timely registration significantly reduces compliance exposure.
Do international founders need personal tax registration in Lithuania?
Non-resident directors may need personal tax registration if they:
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Receive remuneration from a Lithuanian company
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Are subject to Lithuanian income tax
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Trigger payroll or withholding obligations
This depends on remuneration structure and tax treaties.
Is tax registration required if the company is not yet active?
Yes. Basic tax registration is still required, even if company has no transactions or business activity has not yet started. Dormant companies still have reporting obligations.
Can tax registrations be handled remotely?
Yes. Lithuanian tax registrations can be completed fully remotely, including for foreign founders. Digital documentation and local representation make physical presence unnecessary.
My company was deregistered from VAT, can I register again?
Yes. Re-registering after deregistration uses the same application as a first-time registration, filed again once your company is active and ready to trade. We can handle this for you.
Is there a waiting period before I can re-register for VAT?
There’s no fixed waiting period under Lithuanian rules. What matters is proving your economic activity is genuine, ongoing, and not just a re-registration on paper, VMI can request supporting documents for this when you apply, especially for voluntary registration. We handle this process and the documentation VMI expects.
Get in touch
Email, call or complete the form to request more information about 1Office Lithuania accounting services or how we can help you maintain a high level of quality in accounting and compliance for your business in Lithuania.
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Call us
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T. Narbuto 5, Vilnius, Lithuania, LT-08103
Mon-Fri 9.00-17.00, local time
A team on location with international experience
Our team’s international background and on-site presence offer valuable location-specific insights and perspectives.
Customised services based on your specific needs
Our approach to your business is personalised and focused to deliver the best experience.