Lithuania VAT (PVM) 21% Calculator 2027

Lithuania VAT Rates Explained

Lithuania's VAT system applies multiple rates depending on the goods or service. Standard rate 21% covers most consumer goods. Reduced rates apply to essentials (food, books, medicine, public transport). Zero-rated and exempt categories exist for exports, healthcare, and education. Source: State Tax Inspectorate.

Adding VAT vs Extracting VAT

Add: Gross = Net × (1 + rate). Example at 21%: € 10,000 net + 21% VAT = gross. Extract: Net = Gross / (1 + rate). To extract VAT from a tax-inclusive price, divide by (1 + rate). Helps separate the VAT charged on supplier invoices for input-tax recovery.

Registration and Filing

In Lithuania, businesses above the local VAT registration threshold must register and file periodic returns (typically monthly or quarterly). Returns reconcile output VAT (charged to customers) with input VAT (paid to suppliers). Net VAT due is paid to the tax authority. Voluntary registration is also possible below threshold to enable input-tax recovery. Source: State Tax Inspectorate (vmi.lt).

Cross-Border VAT and Reverse Charge

Cross-border B2B services use reverse charge: the buyer self-accounts for VAT in their own return. Imports of physical goods are subject to import VAT at the border. Exports to non-Lithuania customers are typically zero-rated, allowing the exporter to recover input VAT without charging output VAT on the sale.