Lithuania – proposed changes in reduced VAT rate

The Lithuanian Parliament is currently reviewing a bill that proposes changes to the reduced VAT rate. Under the proposed amendments, the reduced VAT rate would increase from 9% to 12% and its scope would be extended to cover:

• accommodation services,
• passenger transport services, including passenger luggage transport,
• admission to cultural and art events and institutions,

If approved the change will be effective from 1st January 2026.

The standard VAT rate of 21% and the super-reduced rate of 5% would remain unchanged.