Anticipated Rule Changes in Latvia for 2024: But our colleagues at the LSM Latvian-language service have stepped up to the task and put together a list of fact-based legislative near-certainties for the next 12 months. We’ll give you a quick rundown of these below. Furthermore, if you are interested in the picture, 2024 is the Chinese year of the Dragon. If you see one flying around in that year, please make sure it has all the necessary papers.
Taxes
- Credit institutions and customer lending service providers have to pay an extra 20% in taxes on their company income. This is based on their financial information from the previous tax year.
- The amount of the employer’s pay that is not subject to payroll taxes and covers the costs of the employee working from home has been raised.
- Raised the amount of personal income tax that is not taxed on health and accident insurance fees.
- Micro-enterprise owners will also be able to get VAT relief and the minimum amount that is not taxed if they also make income that is taxed at the increasing personal income tax rate.
- Microbusinesses will all pay the same 25% tax rate.
- People who get income will be able to keep paying their taxes the way they normally do, at a rate of 25%.
The tax rates on gambling will go up. - Fresh fruits, veggies, and nuts grown in Vietnam will have a 12% value-added tax (VAT/PVN) added to them.
The taxes on alcoholic drinks, tobacco, e-liquids, tobacco substitutes, and gas and oil used in free ports and special economic zones (SEZs) will all go up. - The fees for sports competitions and lessons will not be subject to VAT if the events or lessons are not meant to make extra money.
Mortgage support
People who have home loans will get 30% of their total interest payments refunded. You will receive payment for loans with contracts signed by October 31, 2023, and the total amount does not exceed 250,000 euros. Contracts with a set interest rate will not be paid for during the loan repayment time, so no payment will be made.
Support for children with special needs
Starting in 2024, the state will pay for home care for kids with serious functional problems. The state will continue to pay for care for the kid even after they turn 18, until they are 24 years old. A rough guess is that 855 kids may need help paying for care at home every year. There will also be more money added to the state family income for disabled children. Each month, they will get an extra 160 euros. The last change to the amount was in 2009, and it has been 106 euros a month ever since.
Winter tires
Many so-called “all season” tires (those marked with the letters M+S) will not be allowed on the roads next winter. But you can drive on some types of all-season tires as long as they have the right marks. However, tires that only say “M+S” will not be allowed. Other types will still be okay: 4S stands for four seasons, AW for any season, “All Season” for all seasons, and “Tour Terrain” for all terrain. Tires can also have an extra mark on them in the form of an icon of a mountain with a snowflake on it. You can use these tires in the winter.
Marriage witnesses
from July 1, 2024, a bride and groom will be able to get married without witnesses. However, they can ask up to two adults as witnesses if they want to. Anyone can get married without witnesses after July 1. All they have to do is go to the registry office or the diplomatic or consular presence of the Republic of Latvia abroad and bring an application and other papers needed for the marriage.
Biowaste sorting
As of January 1, 2024, Latvia will require people to sort their biological trash. The modifications won’t have an impact on people who sort their trash and put it in their own garbage piles.
Sorting of organic waste will happen in brown bins that should hold cooking waste and leftover food that hasn’t been wrapped, like cereals, fruit and veggie peels and cores, and other food items.
Wages and pensions
It will go up from 620 euros to 700 euros for the minimum monthly wage during normal working hours. The guaranteed minimum income level for the first or only person living in the house will go up from 125 euros to 137 euros, and it will go down to 96 euros for everyone else in the house from 87.50 euros.
The minimum amount of income for old people will go up. The amount used to figure out the minimum old-age pension will go up from 157 euros to 171 euros, and for people who have had difficulties since they were children, it will go up from 188 euros to 206 euros. For people who have had a condition since childhood, the minimum amount used to calculate their income will go up from EUR 157 to EUR 171. For others, it will go up from EUR 188 to EUR 206.
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Jūrmala entry toll
Starting February 1, 2024, it will cost 3 euros to enter the special rule zone of the city of Jūrmala. This fee will be good for the whole year. Longer-term passes will still cost the same amount of money: a seven-day pass for 10 euros, a 30-day pass for 31 euros, and a 90-day pass for three months will cost 55 euros. It costs 180 euros for a pass that is good for 365 days.
Electric scooters
Electric scooters and cycle rickshaws must be registered with the Road Traffic Safety Directorate (CSDD) by January 1, 2024. Only registered electric scooters and cycle rickshaws will be allowed on public roads. By March 31, 2024, current electric bikes and cycle rickshaws must be registered. After that date, these vehicles will not be allowed to be used on the roads without being registered. Bicycle registration is still optional, and bikes that aren’t registered can still ride in traffic.
Russian-registered vehicles
Starting in February, cars with Russian license plates will not be able to drive in Latvia, and cars that are not registered will be taken away. It is required that cars with Russian license plates be re-registered in Latvia by February 14, 2024, or they will have to leave the country. After this date, cars that aren’t registered will be taken away and given to Ukraine.
Also, you can be fined between 750 and 2000 euros if you use a Russian car that isn’t registered for Latvian roads without permission.
Diplomatic cars will not have to follow the rules. Cars with Russian license plates can cross into Latvia while they are traveling, but they have to do it within 24 hours.
Energy tariffs
The natural gas distribution rates of JSC Gaso, which runs the natural gas distribution system, will go up on January 1, 2024.
Costs will go up by 1.32 euros (without VAT) per month for people who cook with natural gas and can use up to six cubic meters of gas per hour. The changeable part of the price will also go up by 0.06 euros (without VAT). For people who use about 2,500 kilowatt-hours (kWh) of natural gas a month, their average monthly bill will go up by 9.32 euros, not including VAT, during the heating season.
Also, next year there will be new rates for distributing energy. They are only 7% to 11% lower on average than the ones that went into effect in July. However, new state support is coming in January, which will cause the fee for energy delivery services to go up a little. 95% of home users will be able to get help.
E-prescriptions
Starting February 1, 2024, people who have a prescription for drugs in Latvia will be able to buy them in another EU member state. At first, Estonia, the Czech Republic, Poland, Spain, Lithuania, and Portugal will be the first countries to share cross-border e-prescription data with Latvia. Later, more countries will join. You will be able to find the list of countries on the National Health Service page. This method will also work the other way around.
But as of January 1, residents and doctors will only be able to connect to eveseliba.gov.lv through the “eParaksts mobile” mobile app or an e-identity card (eID card). They will no longer be able to use internet banking.
Public transport
A new ticket and fare system for regional public transportation, like buses and trains, will be slowly put in place from April of next year until around the middle of 2025. You can buy more expensive tickets from the bus driver and train director, among other places. You can also buy cheaper monthly tickets ahead of time. Bus fares will go up more quickly on some lines than others because of the new system of taxes and tickets, which will involve leveling the tariffs.
