Claim back your taxes!

You qualify for the state tax deductions if you create savings through one of the following financial products:

• 3rd pillar pension;
• life insurance with savings (endowment life insurance) – Savings for the Future, Savings for Children

Pursuant to Section 10 of the Law on Personal Income Tax, contributions by natural persons are considered as eligible expenses*. It means that you can recover a part of the personal income tax paid on your income.

For contributions into savings made from January 2011 onwards, you are eligible for personal income tax refund of 25 % of contributions to savings with life insurance and contributions to 3rd pillar pension scheme. The maximum amount of contributions is set separately for savings with life insurance and 3rd pillar pensions – up to 10% of the annual gross salary (20% for both combined).

For contributions into savings made in 2010, you are eligible for personal income tax refund of 26 % of contributions to savings with life insurance and contributions to 3rd pillar pension scheme. The maximum amount of contributions is set separately for savings with life insurance and 3rd pillar pensions – up to 10% of the annual gross salary (20% for both combined).

For contributions into savings made in 2009, you are eligible to personal income tax refund of 23 % of the amount of contributions of up to 20% of your annual gross salary (take into account that the 20% limit is the combined limit on contributions to endowment life insurance and 3rd pillar pension scheme).

For contributions into savings made in 2008, you are eligible for personal income tax refund of 25 % of the amount of contributions of up to 20% of your annual gross salary (take into account that the 20% limit is the combined limit on contributions into endowment life insurance and 3rd pillar pension).

How much will I get?

You can calculate your personal income tax refund here.

What should I do to get the tax refunds?

Getting tax refunds is simple because data on your contributions will be sent to the State Revenue Service for you by Swedbank until 2 February 2011, relieving you of the need to present to the State Revenue Service evidence of your contributions.

To get the personal income tax refund you must provide the SRS with:

• the salary tax statement issued by the employer
• a completed tax return.

The tax return form is available here or at any territorial office of the SRS.

How do I complete the tax return?

Instructions on completing the tax return is available:

• from advisors at regional offices of the State Revenue Service;
• tax advisor companies;

Swedbank customers have a 10% discount on services of:

SIA Regnum (Mārupes iela 4-42, Riga, tel. 67442838)
SIA „Konsorts” (Olīvu iela 9, Riga, tel. 67216793).

* Eligible expenses include expenses on education, medical services, donations and gifts to budget institutions and public benefit organizations.

The present tax overview shall be considered for purposes of information only and Swedbank assumes no liability whatsoever for expenses or losses that may be incurred should the information presented here be incomplete, inaccurate or not coincide with interpretation of the State Revenue Service or other competent public authority in respect of taxation. For complete information on taxation of incomes, potential investors should consult their tax advisors on Latvian laws.