Latvia VAT Guide for Nonresident SaaS and E-commerce
A practical guide for US SaaS and e-commerce companies selling into Latvia. Rates, registration thresholds, filing deadlines and e-invoicing status, pulled from the same data that powers our free tools.
EUR 0 for nonresident sellers (OSS Non-Union scheme), EUR 10,000 distance-selling threshold for EU-established sellers (OSS Union)
Filing frequency
Monthly (turnover >EUR 50K or intra-EU transactions) or Quarterly (≤EUR 50K, domestic only) or Semi-annual (very small)
Do I need to register for VAT in Latvia?
If you sell B2C digital services or e-commerce goods to consumers in Latvia from outside the EU, the answer is almost always yes. The EU dropped the distance-selling threshold for nonresident sellers to zero with the 2021 OSS reform: registration is required from the first sale.
B2C digital services (SaaS, downloads, streaming): register under the EU OSS Non-Union scheme. One registration covers sales to all 27 member states.
B2C goods (e-commerce): use IOSS (Import One-Stop Shop) for consignments under EUR 150, or register locally for above-threshold imports and stock held in Latvia.
B2B services to a VAT-registered buyer: reverse charge under Article 196 of the EU VAT Directive. The buyer self-accounts; you invoice with no VAT but must capture and verify their VAT number.
EU-established sellers: use the OSS Union scheme through your home member state. EUR 10,000 distance-selling threshold across all of the EU.
How to register
For B2C digital services, the simplest path is the EU OSS Non-Union scheme. You pick one EU member state as your point of registration (most US sellers pick Ireland for English-language ROS access). One registration covers all 27 EU member states, including Latvia.
Where: via your chosen member state of identification's OSS portal (Irish Revenue ROS, German BZStOnline, French impots.gouv.fr, etc.). For local registration in Latvia: Valsts ieņēmumu dienests (VID).
What you'll need: US tax ID (EIN), proof of US tax residency, list of EU member states you sell into, bank account details for refunds.
Typical timeline: 2 to 6 weeks for OSS Non-Union approval. Local Latvia VAT registration runs longer (4 to 12 weeks) and is only needed if you hold stock or have a fixed establishment there.
Cost: the registration itself is free. Most sellers use a fiscal representative for non-OSS local registrations.
Filing and deadlines
If you register through OSS Non-Union, you file one quarterly return covering all EU member states. Local Latvia returns follow Latvia's domestic rules, summarised below.
OSS Non-Union return: quarterly, due by the end of the month after each quarter (30 April, 31 July, 31 October, 31 January).
Local Latvia filing frequency: Monthly (turnover >EUR 50K or intra-EU transactions) or Quarterly (≤EUR 50K, domestic only) or Semi-annual (very small).
Return due: 20th of following month.
Payment due: 23rd of following month.
Annex to VAT return (transaction-level detail) required. EC Sales List monthly. Intrastat threshold EUR 330K (arrivals) / EUR 220K (dispatches). All filing via EDS (SRS electronic declaration system).
E-invoicing status in Latvia
Status
Phased
Format
Peppol BIS 3.0 via eAddress
Model
Centralized exchange
Scope
B2G (live) + B2B (from 2026-01-01)
Go-live
B2G since 2025-01-01; B2B from 2026-01-01
Amendments to the Accounting Law require all domestic B2B invoices to be structured e-invoices from 2026.
Common mistakes US SaaS makes in Latvia
Treating B2B and B2C the same. If your buyer has a valid VAT number, the reverse charge applies and you must invoice with no VAT. If they don't, you owe destination-country VAT in Latvia.
Trusting customer-supplied VAT numbers without checking VIES. If VIES doesn't return a valid result, you cannot apply the reverse charge. The buyer becomes a B2C customer for tax purposes and you owe VAT.
Confusing Stripe Tax with a VAT registration. Stripe (or Paddle, or Anrok) collects VAT on your behalf. You still have to register, file returns and remit. The merchant of record stays you unless you explicitly use a reseller model.
Missing the two-piece evidence rule. EU rules require two non-contradictory pieces of customer location evidence (billing address, IP, payment country, etc.) for every B2C digital services sale into Latvia. Auditors ask for this.
Filing OSS but ignoring local quirks. Latvia may still require local reporting (Intrastat, EC Sales List, e-invoicing) on top of the OSS return for activities outside OSS scope, like local stock or B2B supplies of goods.
Not sure if you've crossed the Latvia threshold?
Run a free exposure check across all 27 EU member states. Upload a CSV or sync Stripe; we'll show every country where you're already over the line.
The standard VAT rate in Latvia is 21%. Reduced rates apply at 12%, 5%, 0%.
Do US SaaS companies need to register for Latvia VAT?
Yes. Since the EU OSS reform in 2021, the registration threshold for nonresident sellers of B2C digital services is zero. A single OSS Non-Union registration covers all 27 EU member states, including Latvia.
What is the VAT registration threshold for nonresident sellers in Latvia?
There is no threshold for nonresident sellers of B2C digital services into Latvia. Registration is required from the first sale. EU-established sellers benefit from a EUR 10,000 distance-selling threshold across the EU.
How often do I file VAT returns for Latvia sales?
Under OSS Non-Union, you file one quarterly return covering all EU member states. If you register locally in Latvia instead, the local filing frequency is: Monthly (turnover >EUR 50K or intra-EU transactions) or Quarterly (≤EUR 50K, domestic only) or Semi-annual (very small).
Is e-invoicing mandatory in Latvia?
E-invoicing status in Latvia: Phased. Format: Peppol BIS 3.0 via eAddress.
Can I use the EU One Stop Shop (OSS) to remit Latvia VAT?
Yes. Non-EU sellers of B2C digital services use the OSS Non-Union scheme, registering through one EU member state of identification. The OSS return covers VAT due in Latvia along with the other 26 member states.