FISCAL SOLUTIONS...

Last news published on: 30.06.2026 | News: 35

Last document published on: 30.06.2026 | Documents: 11

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Latvia has been fiscal territory since 2014. It operates a hardware-based fiscalization system under which the issuance of fiscal receipts is mandatory. While fiscal devices have to pass a certification procedure, a communication with the Tax Authority is required but indirect. The previous Latvian currency was replaced by the euro on 1 January 2014.

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Latvia

There is no direct communication with the tax authority; however, cash registers must be registered with the tax authority. Fiscal devices must pass a certification/homologation procedure approved by the State Revenue Service (VID).

Type of fiscalization: Hardware

Latvia applies a hardware-based fiscalization system requiring certified and sealed fiscal devices (cash registers, hybrid registers, and cash register systems) that are registered with the State Revenue Service (SRS) and maintained by authorized service providers. The framework defines who is subject to fiscalization, the types of permitted fiscal devices, and how POS software may be used—only when fully integrated, certified, and registered together with the fiscal hardware. Importantly, there is no real-time communication with the tax authority; instead, transaction data must be securely stored locally in fiscal and non-volatile memory and made available to the SRS upon request during audits or inspections

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The purpose of this document is to explain how vending machines are treated as sales machines in retail, and whether they are subject of fiscalization or not.
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Fiscalization has transformed from a compliance tool reliant on hardware to dynamic, software-driven platforms linking businesses and tax authorities. The webinar was presented by Dušan Bučevac, Sales Manager at Fiscal Solutions, who covered crucial fiscalization milestones and explained how real-time data has reshaped compliance, transparency, and business decision-making.
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Latvia plans to introduce a temporary 12% VAT rate on selected essential foods from 1 July 2026 to 30 June 2027, covering bread, milk, poultry, and eggs. The same bill would also limit the 5% VAT rate for books and press publications from 2026 to publications in specified languages only.
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The purpose of this document is to explain rules regarding online sales in Latvia, based on a B2C and retail perspective. Also, it will be presented whether online sales are subjects of fiscalization or not, whether some special rules must be respected, and what is important for retailers and taxpayers.
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Latvia's fiscalization system imposes penalties for non-compliance, including unregistered devices, improper receipts, and data retention failures, with fines ranging from €70 to €20,000 based on violation severity.
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Latvia has approved tax changes introducing a temporary 12% VAT rate on essential food items from July 2026 to June 2027, while making the same reduced rate permanent for locally typical fruits, vegetables, and berries from January 2026. Additionally, the 5% reduced VAT rate for books and media will be limited to publications in Latvian, EU, or OECD languages, with all others subject to the standard 21% rate.
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