Latvia VAT (PVN) calculator 2026
Add VAT to a net amount or remove it from a gross amount. Latvia applies a standard rate of 21%, a reduced rate of 12% (medicines, transport, accommodation, some food) and 5% (books, press).
How this is calculated
- Choose whether to add VAT (PVN -- pievienotas vertibas nodoklis) to a net amount or strip it from a VAT-inclusive price.
- To add VAT at the standard 21% rate: multiply the net amount by 1.21. To remove VAT: divide the gross amount by 1.21. Apply the same logic for reduced rates (divide or multiply by 1.12 or 1.05).
- Select the applicable Latvian rate: 21% standard; 12% reduced (medicines, passenger transport, accommodation, certain food products); 5% super-reduced (books, press, educational materials). Confirm current rate schedules with VID.
FAQ
What are Latvia's VAT rates in 2026?
Latvia applies three VAT (PVN) rates. The standard rate is 21%, applicable to most goods and services. A 12% reduced rate covers medicines, domestic passenger transport, accommodation services, and certain food products. A 5% rate applies to books, newspapers, magazines, and educational materials. Confirm exact classifications with VID (vid.gov.lv) before filing.
When must a business register for VAT in Latvia?
A business or self-employed person must register for VAT once taxable turnover in any 12-month period exceeds the statutory threshold. Voluntary registration before reaching the threshold is also permitted. Check the current registration threshold and rules with VID, as these can be adjusted.
Is VAT registration required for EU cross-border digital services?
Latvian businesses supplying digital services to consumers in other EU member states may need to register for the OSS (One-Stop Shop) scheme rather than -- or in addition to -- domestic VAT registration. The rules depend on turnover across all EU states combined. Consult VID or a tax adviser for cross-border obligations.
Official sources
Data last verified 2026-07-18 · tax year 2026 · 11 sourced values
Every rate, threshold and formula is read from a versioned dataset of official primary sources — no numbers are hardcoded. Values without a published 2026 primary source are flagged, never guessed.
4 sources
- Latvia Ministry of Finance — IIN 25.5% up to EUR 20,004/year (2026)
- VID (State Revenue Service) — Fixed non-taxable minimum EUR 550/month (2026, income-independent)
- likumi.lv (social insurance law art. 18) — Employee VSAOI 10.50% of gross
- likumi.lv (VAT law art. 41) — VAT (PVN) standard rate 21%
⚠️ Informational estimate, not tax advice. Payroll software may differ in edge cases. Verify with a professional.