A branch in Latvia is an organizationally independent part of a company that is separated from the company territorially or in different way. There is systematic commercial activity carried out on behalf of the company at the branch location. A branch does not have to raise equity capital. A branch of the company is not a legal person, it is registered with the Register of Enterprises within 5 business days. Its operations and liabilities are the responsibility of the parent company. There are no restrictions on registering a branch in Latvia and its commercial activities, including the choice of the type of business.

Most important aspects

A company branch in Europe. Can carry out commercial activities, is not a legal person, must provide the annual report.

Reports

A branch in Latvia provides reports on SIC (if employees hired) according to the general procedure, VAT (if a VAT number is registered in Latvia), must submit the annual report. A branch in Latvia is a corporate income tax payer.

Taxes

A branch in Latvia pays PIT, SIC for employees and VAT, if any should be applied, according to the general procedure. A branch pays CIT if profit is distributed in dividends or when conditionally distributed profit is generated.

Why choose Latvia:

• Opportunity to register a representative office in Europe as Latvia is an EU member state;
• Centre of the Baltic States, extensive network of logistics centres;
• Simple tax and accounting legislation;
• Understanding and accommodating attitude from authorities incl. from the State Revenue Service towards entrepreneurs;
• CIT rate of 0% on reinvested profits: It is cost effective to register an LLC if the company plans to invest in further development of the LLC. Latvia is popular among investors in the IT industry;
• Short and simple legal person registration process (within 5 days);
• VAT number in Europe. Latvia has concluded 62 conventions on the avoidance of double taxation and the prevention of fiscal evasion.

Why choose Euroaudit:

• More than 20 years in the accounting market;
• Staff of 20 qualified accountants and consultants;
• We speak fluent Latvian, Russian, and English;
• Full accounting cycle (document processing, verification, entry into accounting program, preparation and submission of reports);
• In working with clients, we extensively use export of large amounts of data (Excel, XML);
• Extensive experience in VAT accounting in Latvia for foreign companies;
• Civil liability insurance;
• Large network of partners: Tallinn, Vilnius, Kiev, Baku. We cooperate on dealing with various matters on behalf of our clients.
• The right choice if you need a branch in Europe.

Euroaudit is your Representative in Latvia providing tax consultancy, accounting and legal person registration services. Please contact our specialists by phone +371 25900918 or e-mail: info@euroaudit.lv