Latvia VAT Rate 2026: 21% Standard Rate

Standard rate 21% · Reduced 5%, 12% · Currency EUR

Latvia VAT Calculator

Current Latvia VAT Rate: 21%

How Much Is VAT in Latvia?

The standard VAT rate in Latvia is 21% in 2026. Other rates: 12% — Medicines and medical devices, domestic public transport, household heating and firewood, accommodation, fresh fruit, berries and vegetables; 12% — Bread, milk, fresh poultry meat and fresh eggs from 1 July 2026 to 30 June 2027 (pilot project); 5% — Books and periodicals (print and electronic); 0% — Exports, intra-EU B2B supplies, supplies to diplomats and under foreign aid programmes. Locally the tax is called Pievienotās vērtības nodoklis (PVN). Among the 27 EU member states, standard VAT ranges from 17% in Luxembourg to 27% in Hungary.

How to calculate Latvia VAT

To add 21% VAT to a net (tax-exclusive) price, multiply it by 1.21. To remove VAT from a gross (tax-inclusive) price, divide it by 1.21.

  • Add VAT: EUR 100 net × 1.21 = EUR 121 gross (that is EUR 21 of VAT)
  • Remove VAT: EUR 121 gross ÷ 1.21 = EUR 100 net (that is EUR 21 of VAT)

Use the Latvia VAT calculator above for any amount, or compare Latvia with every other country in our VAT rates by country table.

Latvia VAT Rates Overview

Every VAT rate currently in force in Latvia

Current VAT Rates (2026)

Rate type Rate Applies to
Standard rate 21% Most goods and services, including restaurant meals
Reduced rate 12% Medicines and medical devices, domestic public transport, household heating and firewood, accommodation, fresh fruit, berries and vegetables
Temporary reduced rate 12% Bread, milk, fresh poultry meat and fresh eggs from 1 July 2026 to 30 June 2027 (pilot project)
Super-reduced rate 5% Books and periodicals (print and electronic)
Zero rate 0% Exports, intra-EU B2B supplies, supplies to diplomats and under foreign aid programmes

VAT History and Local Rules in Latvia

How the rates got here, and country-specific points to watch

Key VAT milestones

  • 2026: 12% rate applied to bread, milk, poultry and eggs from 1 July 2026 for one year
  • 2024: Rate on fresh fruit, berries and vegetables raised from 5% to 12%
  • 2012: Standard rate cut from 22% to 21% in July
  • 2011: Standard rate raised from 21% to 22%
  • 2009: Standard rate raised from 18% to 21% during the financial crisis
  • 2004: Latvia joined the EU

Is the VAT rate the same everywhere in Latvia?

Yes. The same VAT rates apply throughout Latvia, and there are no regional rates or special VAT territories.

Good to know

From 1 July 2026 to 30 June 2027, bread, milk (cow, goat and sheep, including lactose-free), fresh poultry meat and fresh eggs are taxed at 12% instead of 21%. The government is running this as a one-year pilot to test whether shops pass the cut on to shoppers.

Fresh fruit and vegetables had a special 5% rate until the end of 2023 and have been taxed at 12% since 2024. Restaurant and catering meals remain at 21%.

Latvia postponed its planned 2026 B2B e-invoicing mandate. Structured e-invoices between businesses become mandatory from 1 January 2028.

Zero-Rated and Exempt Supplies in Latvia

The difference matters: zero-rating keeps input-VAT recovery, exemption does not

Zero-rated supplies (0%)

VAT is charged at 0%, but the seller can still recover input VAT on related costs:

  • Exports of goods outside the EU
  • Intra-EU supplies of goods to VAT-registered customers
  • Supplies to diplomatic missions
  • Supplies financed under foreign aid programmes

VAT-exempt supplies

No VAT is charged, and the seller generally cannot recover input VAT on related costs:

  • Education
  • Financial and insurance services
  • Medical services
  • Nursery (childcare) fees
  • Sale of used real estate and land (building land is taxable)
  • Certain sports lessons and competition fees

Latvia VAT Registration & Compliance

Key facts for businesses registering for and reporting VAT in Latvia.

Local namePievienotās vērtības nodoklis (PVN)
VAT number formatLV + 11 digits (e.g. LV12345678901)
Registration thresholdEUR 50,000 of taxable supplies in the previous 12 months; registration within 15 days of exceeding it
Non-resident businessesNon-established businesses must register before their first taxable supply in Latvia; no threshold
Filing frequencyMonthly by default; quarterly for smaller businesses with annual taxable supplies below EUR 50,000
Filing and payment deadline20th day of the month following the tax period (return and payment), filed via the VID EDS system
E-invoicing / reportingB2G e-invoicing is mandatory; the B2B structured e-invoicing mandate was postponed to 1 January 2028, with voluntary use from 2026
Tax authorityValsts ieņēmumu dienests (VID, State Revenue Service)

Thresholds, deadlines and e-invoicing rules are revised regularly. Always confirm current requirements with Valsts ieņēmumu dienests (VID, State Revenue Service) before relying on them.

Cross-Border Sales and Refunds in Latvia

Selling into the country from abroad, and getting VAT back

Cross-border rules

Digital services and e-commerce: Foreign sellers of digital services to Latvian consumers charge 21% Latvian VAT. They normally report it through the EU One-Stop Shop (OSS), or the non-Union OSS for non-EU sellers, without registering in Latvia.

Tourist VAT refunds: Yes. Non-EU residents can reclaim VAT on goods bought from participating retailers and exported from the EU, with customs validation of the tax-free form.

For the general rules, see the reverse charge mechanism, VAT on digital services, VAT invoice requirements and VAT refunds for tourists and businesses.

Compare VAT Rates

VAT rates in neighboring and similar economies

Nearby Countries

🇩🇪 Germany

Standard Rate: 19%

🇫🇷 France

Standard Rate: 20%

🇮🇹 Italy

Standard Rate: 22%

🇪🇸 Spain

Standard Rate: 21%

Frequently Asked Questions

Common questions about VAT in Latvia

What is the current VAT rate in Latvia?

The standard VAT rate in Latvia is 21% in 2026. Other rates in force: 12% (reduced rate), 12% (temporary reduced rate), 5% (super-reduced rate), 0% (zero rate). See the rates table above for exactly what each rate covers.

How do I calculate VAT in Latvia?

To add 21% VAT, multiply the net price by 1.21. To remove it from a VAT-inclusive price, divide by 1.21; the difference is the VAT. The calculator at the top of this page does both.

Is VAT on food reduced in Latvia in 2026?

Partly. Bread, milk, fresh poultry and eggs are taxed at 12% from 1 July 2026 to 30 June 2027, and fresh fruit and vegetables are also at 12%. Most other food and restaurant meals are taxed at 21%.

What is the VAT registration threshold in Latvia?

Latvian businesses must register once taxable supplies exceed EUR 50,000 in the previous 12 months, within 15 days. Non-established businesses have no threshold.

Sources

Official and professional references used for this page

Last reviewed on 27 September 2026.