VAT Guide for Marketplaces & Platforms in Latvia
Marketplaces & Platforms operating in Latvia charge the standard VAT rate of 21% (reduced rates: 5%, 12%). Registration becomes mandatory at €40,000 annual turnover, returns are filed monthly or quarterly, and cross-border B2C sales are reported through the EU One-Stop Shop.
| Standard rate | 21% |
| Reduced rates | 5%, 12% |
| Registration threshold | €40,000 annual turnover |
| Filing frequency | Monthly or quarterly |
| Currency | EUR |
| In force since | 01 Jul 2012 |
| Last verified | 01 Sept 2026 |
Official source
Valsts ieņēmumu dienests (VID)Figure verified on 01 Sept 2026. Every rate on this page is traceable to the authority above.
Worked examples
Domestic sale in Latvia
You invoice a customer based in Latvia for €1,000.00 of marketplaces & platforms work.
Add 21% VAT: €210.00. Total invoiced €1,210.00, declared in your monthly or quarterly return.
Cross-border B2B inside the EU
A VAT-registered business in another member state buys the same €1,000.00 service and supplies a valid VAT number.
Invoice at 0% under the reverse charge, state "Reverse charge — Article 196 VAT Directive", and report the sale on your EC Sales List.
B2C digital sales to other EU countries
Consumers across the EU subscribe to your platform for a total of €10,000.00 per year.
Above the €10,000 EU-wide threshold you charge the customer's local rate and file a single OSS return instead of registering in each country.
Late filing exposure
Your monthly or quarterly return is filed after the deadline.
Late payment interest at 0.05% per day. Penalties from €30 to €700 per violation.
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- Confirm whether you are above €40,000 annual turnover
- Register with Valsts ieņēmumu dienests (VID) before your first taxable supply
- Apply 21% on domestic sales and the reverse charge on EU B2B
- Validate every EU customer VAT number in VIES and keep the proof
- File monthly or quarterly and archive invoices for the statutory period
- Micro-enterprise tax as alternative to VAT
- Reverse charge for timber and metal waste
FAQ — Marketplaces & Platforms in Latvia
When must marketplaces & platforms register for VAT in Latvia?
Registration is required at €40,000 annual turnover. Voluntary registration below that level is possible and usually worthwhile when you buy a lot of taxable inputs, because it lets you reclaim input VAT.
Which VAT rate applies to marketplaces & platforms in Latvia?
The standard rate is 21%, with reduced rates of 5% and 12% for specific categories. Applied since 2012-07-01, last verified against Valsts ieņēmumu dienests (VID) on 2026-09-01.
How often do I file VAT returns in Latvia?
Monthly or quarterly. Late payment interest at 0.05% per day. Penalties from €30 to €700 per violation.
What must appear on an invoice in Latvia?
Standard EU invoice requirements. Electronic invoicing encouraged. Simplified invoices allowed for amounts under €150.
Do I charge VAT to business clients in other EU countries?
No. For B2B services within the EU the reverse charge applies: invoice at 0%, quote both VAT numbers, add the reverse-charge mention and report the transaction on your recapitulative statement. Always validate the customer's VAT number in VIES first.
What is specific to Latvia for my sector?
Micro-enterprise tax as alternative to VAT · Reverse charge for timber and metal waste · Special scheme for second-hand goods dealers
Disclaimer : This tool is provided for informational purposes only and does not constitute professional tax advice. Consult a qualified tax advisor for decisions regarding your tax situation.Source : EU VAT Directive 2006/112/EC
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