It should be noted that VAT generally is refunded in cases where the purchased goods or services were used for carrying out VAT taxable activities.
VAT refund application must cover a period of not less than three consecutive calendar months (e.g. from 1 January to 31 March) in one calendar year (unless the period represents the remainder of a calendar year (e. g. from 1 November to 31 December)) and not more than one calendar year.
VAT refund application should be submitted via the electronic system provided by the tax authorities of the member state in which the taxable person is established (has usual place of residence, if the applicant is natural person).
Yes, it is possible. In such cases power of attorney should be submitted together with the application as well.
If the power of attorney is not in Lithuanian or in English language, the translation should be provided (the translation has to be signed by translator, approving that the translation is correct). The power of attorney has either to bear an apostille or be legalized if it is issued outside the EU.
Yes, it is. However such a request has to be indicated in the power of attorney.
The application should be submitted not later than by September 30th of the year following the one in which the purchases were made.
There are no restrictions on the frequency however the period for which VAT refund application is submitted cannot be less than 3 calendar months of the same calendar year (with the exception if it is the end of the year) and cannot exceed the period of calendar year.
If the VAT refund application relates to a period of less than one calendar year but not less than three months, the minimal amount for which application is made may not be less than EUR 400. If the VAT refund application relates to a period of a calendar year or the remainder of a calendar year shorter than three calendar months, the minimal amount may not be less than EUR 50.
Information about goods and services bought in Lithuania in the VAT refund application has to be described by purchase (imported) goods and services codes. General codes are indicated in the Council Directive 2008/9/EC. Member states can choose to use more detailed codes provided in the Commission Implementing Regulation (EU) No. 79/2012.
Lithuania has chosen to require some, but not all detailed codes provided in the Commission Implementing Regulation (EU) No. 79/2012.The detailed codes chosen by Lithuania are mandatory in the refund application.
| Title of the good or service | General code indicated in the Council Directive 2008/9/EC | Detailed code indicated in the Commission Implementing Regulation (EU) No. 79/2012 and chosen by Lithuania |
|---|---|---|
| Fuel | 1 | None |
| Hiring of means of transport | 2 | 2.8 2.9 |
| Expenditure relating to means of transport (other than the goods and services referred to under codes 1 and 2) | 3 | 3.11 3.12 |
| Road tolls and road user charge | 4 | None |
| Travel expenses, such as taxi fares, public transport fares; | 5 | 5.1 5.2 |
| Accommodation | 6 | All detailed codes provided in the Regulation |
| Food, drink and restaurant services | 7 | All detailed codes provided in the Regulation |
| Admissions to fairs and exhibitions | 8 | All detailed codes provided in the Regulation |
| Expenditure on luxuries, amusements and entertainments | 9 | All detailed codes provided in the Regulation |
| Other | 10 | Provide the description |
Please note, that if you buy services under general codes 2, 3 and 5 then you should indicate the detailed code only if the purchase falls under the detailed code provided in the table. Otherwise just general code is used (e. g. if you hire passenger car of the M1 category, you indicate just general code – 2, however if you hire means of passenger transport with more than 9 spaces, then you have to use detailed code – 2.8).
The general threshold for the submission of an electronic copy of an invoice is where the taxable amount on the invoice or import document is at least EUR 1,000 (EUR 250 for invoices relating to fuel costs), i. e. in such cases where the threshold is reached copies of the invoices are mandatory.
If on purchase documents (invoices, including cash register receipts which are considered as invoices) is specified only specific purchase card number of applicant, Lithuanian tax authorities can request additional documents/information to identify for whom such card (number) is issued.
Documents attached to the VAT refund application should be in JPEG, TIFF, PDF or ZIP.
The files attached together with the VAT refund application cannot exceed the limit 5 MB. If the size of the files that should be attached exceeds the limit then the applicant should attach part of the documents. The other part of the documents will need to be submitted by e-mail, the address of which is the Lithuanian tax administrator to the taxable person of another Member State the person (the representative of this person) will indicate upon receipt of a request for VAT refund.
It should be made either in Lithuanian or in English. If documents submitted as additional information are not in Lithuanian or English, the translation should be provided (the translation has to be signed by translator, approving that the translation is correct).
If additional information was asked for then the decision should be made during 2 months from the date when the additional information was received. If the Lithuanian tax authorities has asked for additional information several times then the decision should be made not later than 8 months after the receipt of the application.
The applicant must provide requested information within one month of receipt of the request.
The amount of VAT refund should be transferred no later than 10 working days from the date on which the decision to grant VAT refund should have been made if there were requests for additional information. If no requests for additional information were made then VAT refund should be transferred no later than 10 working days after the deadline of 4 months. The VAT refund can be transferred to any bank account located in Lithuania or in another member state. If the VAT refund is transferred to the bank in another member state then it will be reduced by bank fees (including currency exchange costs).
Yes, the applicant has a right to the interest, however no additional request should be made. The system is organized in such a way that the interest is calculated automatically.
Yes, the taxable person has to adjust the amount of proportional deduction. The adjustment should be made via the electronic system provided by the tax authorities of the member state in which the taxable person is established.
Those requirements are not applied in cases where a foreign taxable person carries out only exempted (taxed at 0% VAT rate) transport or additional transport services, supplies goods or services for which reverse charge is applied under art. 95 (2) – 95 (4) of the Law on VAT or supplies services under the special e-commerce scheme.
From the 1st of January 2018 taxable persons established in the countries which are members of OECD (Organization for Economic Co-operation and Development), in which there is no VAT (or a tax identical to it) are entitled to apply for VAT paid in Lithuania refund. However, this provision applies for VAT paid on purchases from 1 January 2018.
It should be noted that VAT generally is refunded in cases where the purchased goods or services were used for carrying out activities, that would be taxable with VAT if carried out in Lithuania.
VAT can be recovered only partially on entertainment and representation expenses (goods and services) if those expenses were incurred since 1 January 2018.
The application must cover a period of not less than three consecutive calendar months (e. g. from 1 January to 31 March) in one calendar year, unless the period represents the remainder of a calendar year (e. g. from 1 November to 31 December) and not more than one calendar year.
Yes, it is possible. In such cases power of attorney for the intermediary should be submitted together with the VAT refund application and appropriate documents. It is possible to have only one intermediary for one VAT refund application.
Yes, it is possible if such clause is indicated in the power of attorney.
There are no restrictions on the frequency however the period for which VAT refund application is submitted cannot be less than 3 calendar months of the same calendar year (with the exception if it is the end of the year) and cannot exceed the period of calendar year.
If the application relates to a period of less than one calendar year but not less than three months, the amount for which application is made may not be less than EUR 400. If the application relates to a period of a calendar year or the remainder of a calendar year shorter that three calendar months, the amount may not be less than EUR 50.
The application must be submitted to the Lithuanian VAT authorities within six months of the end of the calendar year in which the tax became chargeable, i. e. by 30 June of the following year. The deadline will not be extended.
It is necessary to submit originals or copies of VAT invoices or import declarations where the relevant VAT amounts have been paid in the Republic of Lithuania. In the case of fuel purchases, instead of VAT invoices, receipts of cash registers may be provided, if they include technical data identifying the fuel customer (taxpayer's name, code or specific fuel purchase card number), originals or copies. If the VAT invoices and cash register receipts identify the taxable person outside the EU only with a specific fuel purchase card number, the originals or copies of the documents for which the card is issued may be identified. If a foreign taxable person submits the originals of the documents indicated and wishes the originals to be returned to him, he must provide a copy of these documents.
A certificate (certificate) issued by a foreign state certifying that a foreign person is registered in the country or in the country in which he is acting through a permanent establishment as VAT or a taxpayer identical to him. The certificate is not neede where the application is submitted by taxable person established in the member of the OECD (Organization for Economic Cooperation and Development) which does not have VAT (or a tax identical to it). If the certificate (certificate) is issued in non-Lithuanian or English language, a translation of this document into the Lithuanian language, certified by the translator's signature, indicating that the translation is correct.
If the application is submitted by electronic means, documents attached to the VAT refund application should be in docx, xlsx, pptx, ppsx, odt, ods, odp, pdf, tif, tiff, jpg, jpeg, jfif, png, adoc.
The size of one file can not exceed 4 MB, but the amount of files provided is unlimited.
It should be submitted in Lithuanian or in English.
In cases where the original documents are written neither in Lithuanian nor in English the translations should be submitted. The translations should be signed by the translator stating that the translation is correct.
In the cases where Lithuanian tax authorities do not ask for additional information the decision should be made during 4 months from the date when the VAT refund application was received.
If it was asked for additional information then the decision should be made during 2 months from the date when the additional information was received.
The tax authorities can request additional information and notify the claimant via electronic means. The claimant must provide all information within one month of receipt of the request. If the applicant has objective reasons why he cannot present additional information on time Vilnius Country State Tax Inspectorate can extend the term.
After the decision to repay all or part of the amount of VAT, the amount to be refunded is within 10 working days of the decision being transferred to the account specified in the application. Transferable amount of money is reduced by the cost of banking services, including currency conversion costs.
The link to the original publication by the State Tax Inspectorate.