Latvia Special Economic Zones (SEZs) in 2023

• Latvia operates four Special Economic Zones (SEZs), namely: i) Riga Free Port ii) Ventspils Free Port iii) Liepaja Special Economic Zone and iv) Rezekne Special Economic Zone;
• Companies incorporated in Latvian SEZs are offered several tax incentives including i) 80% rebate on corporate income tax up to 50% of amount invested ii) 80% rebate on real estate tax up to 50% of amount invested and iii) exemptions from withholding taxes and import/export duties and iv) exemption from VAT on certain goods and services provided within or exported out of the zone;
• In order to setup in the zone, the Client will need to incorporate a company and then submit an application to the zone authorities, with the following documents: i) the registration certificate ii) articles of association iii) annual reports from the previous 2 years (if available) iv) planned investment schedule;
• Evaluation of the application is done on a case by case basis, under the following criteria: i) amount of planned investments ii) number of jobs created iii) level of wages iv) technology transfers v) volume of trade generated for the port and vi) planned utilization of local resources.