A lot has already been said about this publicly, but I want to stress once more when an obligation to pay VAT arises in Lithuania – even if you are not registered for VAT.⚠️
This year I have about 5 newly onboarded small partnerships (MB) that provide various services. They are not VAT payers, yet for 2025 they have to pay more than EUR 5,000 in VAT.
How did this happen?🤔
They bought Meta services – i.e. Facebook advertising – and received invoices for those advertising services. Because such services are taxed in the buyer’s country when purchased by a taxable person (one carrying out economic activity), the VAT must be calculated and paid in Lithuania.
A similar situation occurs with Bolt drivers who operate as self-employed individuals in Lithuania. If they are not VAT payers, they must declare and pay VAT on the invoices they receive from Bolt. Over a year these amounts add up, so the VAT payable can reach around EUR 5,000.
I most often see this trend among those who have been doing their own bookkeeping until now. Had they hired an accountant, they would have been informed about these obligations in time, and the VAT could have been paid gradually. Now the whole amount has to be paid at once – with late-payment interest on top.
✔️Check whether you buy services from foreign suppliers – this may mean you have to pay VAT, even if you are not a VAT payer.
