Lithuania’s Parliament has adopted the 2026 Budget, introducing VAT rate changes effective 1 January 2026, including replacing the 9% reduced rate with a 12% rate for sectors such as accommodation, transport, culture, and catering, while the standard rate remains at 21%. At the same time, VAT on district heating, hot water, and firewood will increase to 21%, while VAT on medicines, books, and non... Read more

Lithuanian tax inspections for VAT and fiscalization can take place either at the tax administrator’s office or directly at the taxpayer’s premises, with prior notification required. During an inspection, officials may review all relevant accounting records, systems, and materials, while taxpayers must provide full access and necessary documentation. Read more

Lithuania will introduce a new excise tax on sweetened non-alcoholic beverages starting January 1, 2026, targeting drinks with added sugars or sweeteners while exempting those with only natural sugars. The measure, part of the 2026 tax reform, sets tiered rates up to €21 per hectolitre and is expected to slightly raise retail prices depending on sugar content and product type. The Lithuanian Parli... Read more

Lithuania has proposed amendments to its VAT law introducing a 12% reduced rate for accommodation, public transport, cultural visits, and household energy supplies. The draft also extends reduced VAT to printed and electronic books and educational publications, excluding those with mainly advertising, music, or video content Lithuania has amended its Value Added Tax (VAT) law to introduce new redu... Read more

The Lithuanian Tax Authority has released version 1.9 of its technical documentation, introducing clarifications to several web services, including updates to the description of “linkedDocumentNumber” and the error code CERTIFICATE_VALID_TOO_LONG. Changes also affect the validity descriptions of transport and security module certificates in the CSR file creation guide, with the full documentatio... Read more

Lithuania plans to implement nationwide structured e-invoicing by 2028, using the EU standard EN 16931 and aligning with the 2030 VAT in the Digital Age reforms. The system will likely adopt a 5-corner model with real-time reporting to the SABIS platform, building on its existing eSąskaita B2G infrastructure and offering free API-based tools for businesses. Lithuania has set its sights on a full-s... Read more