TAXATION OF INCOME RECEIVED FROM A VIRTUAL CURRENCY

TAXATION OF INCOME RECEIVED FROM A VIRTUAL CURRENCY

DEFINITION OF 'A VIRTUAL CURRENCY'Usually, when it comes to 'a virtual currency', this relates mainly to such measures as Bitcoin, Ethereum, Ripple, Litecoin, etc. For tax purposes, any instrument which by its characteristics is analogical to specified measures (i. e....

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UBO register

UBO register

All legal entities established in Lithuania (except for those whose sole participant is the state or a municipality) have to submit information on their final beneficiaries to the Registers Centre, the administrator of the Beneficiary Information System for Legal...

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Employee Stock Options

Employee Stock Options

In economically strong countries options have been known for several decades, but in Lithuania, they have become more widely used only recently, with the change in the Law of the Republic of Lithuania on Personal Income Tax (hereinafter – Law on PIT) which introduced...

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Transfer pricing changes from 2020

Transfer pricing changes from 2020

In October 2020 Lithuania has adopted amendments to the national rules on transfer pricing:  A mark-up of 5 % is allowed for low value-adding services; The rules introduce the concept of “hard to value intangibles“ and exceptions for price adjustments of these assets;...

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DAC-6 Compliance

DAC-6 Compliance

Purpose The EU directive on Mandatory Disclosure Rules (MDR) for intermediaries (DAC6) is against potentially aggressive tax arrangements and opaque structures. The directive requires mandatory reporting of cross-border arrangements and considerably impacts...

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Transfer pricing requirements in Lithuania

Transfer pricing requirements in Lithuania

The OECD’s base erosion and profit shifting (BEPS) project highly impacted transfer pricing legislation in the world. Lithuania is not exemption. Following BEPS actions the new transfer pricing documentation requirements were introduced 31 December 2018, and apply to...

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