VAT News

Lithuania to Reduce Standard Rate of VAT

According to a recent report and subsequent announcements, financially astute members of Lithuania's Parliament have put forward a proposal which would see the country's standard value added tax rate be reduced from 21% to 18%.

Lithuania's VAT scheme was last amended back in 2009 when the economic pressures of the European financial crisis led to a 2% rise in VAT in the country to stabilise the economy.

Now, however, a reduction of VAT is being considered to boost the economy once more and reduce the appeal of tax fraud which is a growing concern in the area. VAT is the largest tax revenue for the government, so any changes are expected to make a significant impact.

If approved by the whole Parliament, the proposed changes would come into effect from 1st January 2020.

Related articles

New Greek Government Planning Major Tax Cuts

Among changes announced were a substantial reduction in both corporate tax and value-added tax (VAT).

Read more
Digital Services Tax Heading to France

Legislation approved in France this week imposes a digital services tax on technology firms.

Read more
Construction Sector Building Up For A Cash-Flow Crisis

Thousands of construction companies are facing a 20% drop in cash flow when VAT changes come into force in October.

Read more