Simplified Tax Regime for Small-Scale Economic Activities
Following up on the amendments discussed in our previous tax update, on 17 September 2026 the Saeima adopted, in the final reading, amendments to the Micro-Enterprise Tax Law introducing a simplified tax regime for small-scale economic activities.
The regime will be available to natural persons who:
- have annual turnover not exceeding EUR 12,000;
- offer goods or services exclusively to other natural persons;
- do not employ any employees; and
- do not carry out any other economic activity simultaneously.
The tax rate will be 10% of turnover, and its administration will largely be automated through a dedicated business income account opened specifically for conducting the relevant economic activity.
