Latvia VAT / Sales Tax

Detailed vat / sales tax rates and rules for Latvia in 2026.

VAT / Sales TaxEUR

Latvia applies a standard VAT (PVN - pievienotās vērtības nodoklis) rate of 21%, with reduced rates of 12% and 5%. The system follows EU VAT directives.

Standard Rate

21%

Registration Threshold

€40,000 in annual taxable turnover

Reduced Rates

12% — Pharmaceutical products, medical devices, baby food, public transport, heating, books, periodicals, hotel accommodation5% — Locally produced fruits and vegetables (seasonal)0% — Exports, intra-EU supplies

How Latvia VAT / Sales Tax compares

Latvia’s standard VAT / sales tax rate of 21% is the 18th highest of 203 countries TaxAtlas tracks, above the global average of 13.7% and Europe’s regional average of 19.9%.