RESOLUTION
OF THE SUPREME COUNCIL
OF THE REPUBLIC OF LITHUANIA
REGARDING THE ASSESSMENT
OF TAXABLE PROFIT OF LEGAL PERSONS
Pursuing From Article 6 of the Republic of Lithuania Law on
Taxes on Profits of Legal Persons, The Supreme Council of the
Republic of Lithuania resolves:
1. To establish that, when computing the taxable profit of
legal persons, the actual expenses of charities, culture,
education, and other affairs for social development, as well as
actual expenses associated with financing studies, but not
exceeding the amount specified in the Supplement, shall be
deducted from the balance profit. (Amended 6 February 1992)
2. Charitable, cultural, educational, and other social-
service expenses shall be:
1) gratuitous remittance (transfer) of money or material
property, the acquisition and transfer of patents or licences to
organizations whose bylaws provide for charitable functions, as
well as to institutions of culture, education, science, health
care, sports, social security and social welfare which are
financed from the State Budget of Lithuania or from local
government budgets, provided that said institutions or
organizations render no services for the benefit of the legal
person remitting (transfering) the money (property);
2) expenses associated with the protection and restoration
of historical and cultural monuments;
3) profits received by non-profit organisations and their
enterprises which are used for their own needs;
4) expenses associated with medical and social
rehabilitation of disabled persons, with the design and
production of technical equipment which they are provided with
free of charge, and with the provision of the needs of said
persons in the spheres of culture and sports; and
5) expenses associated with liquidating the consequences of
natural disasters and ecological catastrophes, as well as of
epidemics of infectious diseases.
3. The amount of profit remitted according to the procedure
established by the Government to officially registered charitable
foundations shall be exempt from taxation. (Amended 6 February
1992)
VYTAUTAS LANDSBERGIS
President
Supreme Council
Republic of Lithuania
Vilnius
31 October 1990
No I-723
SUPPLEMENT
TO THE SUPREME COUNCIL
OF THE REPUBLIC OF LITHUANIA
RESOLUTION No I-723 OF 31 OCTOBER 1990
Maximum Expenses of legal Persons Deducted from Balance
Profit when Assessing Taxable Profit
------------------------------------------------------------
|Maximum expenses deducted
|from balance profit when com-
Categories of legal persons |puting profit tax (percentage
|of balance profit)
|-----------------------------
|for the purposes of| for
|charities, educa- |financing
|tion, and other af-| studies
|fairs of social |
|utility |
------------------------------------------------------------
Societies of the blind, the deaf,
and other disabled persons,
their enterprises and organisa-
tions 75* 25
Lithuanian Exile and Political
Prisoner union, Lithuanian
Abstinence Union, the Red Cross
Society, Bishop M. Valancius
Temperance Movement, the Culture
Fund, the Compassion and Health
Fund, the Children's Fund,
other organizations and foundations
whose main purpose is charity,
as well as their enterprises
and organizations 75* 25
Other organizations engaged in
nonprofit activities (parties,
unions, societies, clubs, federa-
tions, associations, etc.) and
their enterprises and organizations 25 10
Other enterprises 3 5
Institutions of science and studies 3* 97
________________________________________
* Maximum expenses on charities, culture, education, and
other affairs for social development may be increased to the
extent that maximum expenses on financing studies are reduced.