Lithuania COVID-19 hospitality VAT cut to 9%
- Jun 3, 2021
Lithuania is to reduce the Value Added Tax rate on hospitality, sporting and cultural services from the standard rate of 21% to the reduced rate of 9%. This will take effect from July 1, 2021 and last until December 31, 2021.
In addition, VAT payables may be rolled over for a further four months until 31 August 2021.
The measure is part of a package of business support reforms during the coronavirus pandemic lockdowns. It also includes the right for businesses to set-off 2020 corporate income tax losses against 2019 taxable profits (normally, losses may only be carried forward against future year profits).
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