REPUBLIC OF LITHUANIA
LAW
ON LAND TAX
1. The Object of Taxation and Taxable Entities
Article 1.
Land shall be taxed. Land shall be divided according to its
use into:
1) land used for agricultural purposes; and
2) non-agricultural land.
Article 2.
Land owners and land users (natural and legal persons) using
land on the territory of the Republic of Lithuania, which has
been allotted to them by State bodies or which they possess by
right of ownership, shall be liable to land taxation.
2. Tax Rates and the Procedure for their Establishment
Article 3.
Taxes shall be imposed on land used for agricultural
purposes as follows:
1) for agricultural land - at the basic tax rate as
prescribed by Supplement 1;
2) for agricultural land in zones 1 and 2 of the karst
region - at a rate 2 times lower than the basic rate prescribed
by Supplement 1; for agricultural land in zones 3 and 4 of the
karst region - at the minimum tax rate;
3) for forest land - at a tax rate 5 times lower than the
basic rate prescribed by Supplement 1; for all other taxable land
- at a tax rate 10 times lower than the basic rate prescribed by
Supplement 1.
No tax shall be imposed on precipices, karst formations,
sandy land, and land under natural water bodies.
Article 4.
A tax at the basic rate, i.e. 335 roubles per hectare, shall
be imposed on all non-agricultural land.
During the first three calendar years from the enforcement
of this law, taxes shall be imposed on the total area of land
which is allotted (or acquired) for non-agricultural purposes and
which was previously used for farming, at the basic rate
prescribed by Supplement 2 of this law.
Article 5.
Upon determining the minimum tax rates, the basic rates of
taxes specified in Articles 3 and 4 shall be increased by
applying the following coefficients:
in the cities of Vilnius and Neringa 2.5
in the cities of Kaunas and Palanga 2
in other towns under the jurisdiction of the
Republic and in the town of Trakai 1.7
in towns whose population exceeds 30,000 1.5
in towns whose population is between 10,000
and 30,000 1.3
in towns whose population is under 10,000 1.2
in urban-type settlements 1.1
for land owners and users, if more than half of
the total area of the allotted (or acquired)
land is ithin 10 kilometres of the border of
a town under the jurisdiction of the Republic 1.2
for land owners and users, if more than half of
the total area of the allotted (or acquired)
land is within 5 kilometres of a town border 1.1
The amount of tax imposed on land allotted (or acquired)
beyond the boundaries of a town or urban-type settlement shall be
calculated by applying either the minimum tax rate for a
suburban zone, or the basic tax rate (with the exception of
suburban zones).
In towns and urban-type settlements, land tax rates shall be
determined by local government Boards in compliance with the
procedures established by the Government of the Republic of
Lithuania.
Tax rates may not exceed 40 times the minimum tax rate
imposed in the locality.
3. Tax Reliefs
Article 6.
Land tax shall not be imposed on:
1) State reserve land;
2) State Forest Fund land;
3) cemeteries and church yards;
4) land allocated for environmental, educational and
scientific purposes;
5) the grounds of archaeological, architectural, and
historical monuments;
6) State railway and State motor transport land;
7) State Water Fund land;
8) land of towns and urban-type settlements which is
commonly used;
9) land allotted to (or acquired by) charity organizations
and institutions which are financed by local government budgets;
and
10) forest land in towns and urban-type settlements.
Farmsteads, private farms, and land which is allotted by
bodies of State Government, used for commercial activities, and
located on the territories specified in paragraphs 1, 2, 4, 5,
and 6 hereof, shall not be exempt from taxation.
Article 7.
Under this law, land owners and land users who qualify as
Group I or Group II invalids, as well as people for whom old-
age pension, tax-exempt agricultural income, and grants are the
sole source of family income, shall be exempt from taxation if
their respective plot of land is no more than 1 hectare in rural
areas, or 0.15 hectare in urban areas.
Article 8.
The right to modify taxation or to declare individual legal
and natural persons or their respective groups exempt from land
tax shall belong to the Local Government Boards to whose budgets
land tax payments are appropriated.
4. Procedure and Control of Tax Payment
Article 9.
Land tax shall be based on the data of the land cadastre,
which shall be presented to the land users in the procedure
established by the Government.
Legal persons shall calculate their own taxes according to
the set form of the Ministry of Finance, and shall file a return
with the town (or district) State Tax Inspectorate every year by
the 1st of February.
State Tax Inspectorates shall calculate taxes for natural
persons, and shall inform them of the amount due by the 1st of
February.
Article 10.
New land users shall pay taxes:
1) for the whole year if the land is allotted or acquired by
right of ownership during the first half of the year; or
2) beginning the following year if the land is allotted or
acquired by right of ownership during the second half of the
year.
The same regulations shall be applied if the boundaries of a
land user's plot are changed.
Article 11.
If the tax due for a given year does not exceed 500
roubles, the taxpayers shall pay the required amount in 2 equal
installments: the first installment by May 1st, and the second by
November 1st; if the amount exceeds 500 roubles, it shall be
payed in four equal installments: the first installment by
February 15th, the second by May 15th, the third by August 15th,
and the fourth by November 15th.
Article 12.
Persons who are not taxed by the established date shall be
required to pay no more than the amount of the previous two
years. Inaccurately assessed tax revisions, tax reimbursments,
and recoveries of debt shall also not exceed the amount of the
previous two years.
Article 13.
Taxpayers who fail to pay their taxes by the required date
shall be liable for a daily interest of 0.5 percent until the tax
is payed.
5. Special Conditions for the Imposition of Taxes
Article 14.
Natural and legal persons who are voluntarily using land
without a due permit shall be held liable by the State Tax
Inspectorate for three times the maximum tax rate for the given
residential area.
Payment of the aforesaid tax shall not legalize the
unsanctioned use of land.
Vytautas Landsbergis
President
Supreme Council
Republic of Lithuania
Vilnius
25 October 1990
No. I-714
LAW ON LAND TAX OF THE REPUBLIC OF LITHUANIA
SUPPLEMENT 1
Basing rate of land tax for agricultural land [of the land
used for agricultural purposes] according to the assessment of
its productivity.
Productivity marks Rate of land tax
of agricultural land roubles per 1 hectare per year
up to 17 6
17.1-19 12
19.1-21 18
21.1-23 24
23.1-25 30
25.1-27 36
27.1-29 42
29.1-31 48
31.1-33 54
33.1-35 60
35.1-37 66
37.1-39 72
39.1-41 78
41.1-43 84
43.1-45 90
45.1-47 96
47.1-49 102
49.1-51 108
51.1-53 114
53.1-55 120
55.1-57 126
57.1-59 132
59.1-61 138
61.1-63 144
63.1-65 150
65.1-67 156
67.1-69 162
69.1-71 168
71.1-73 174
73.1-75 180
75.1-77 186
77.1 and over 192
On the average in the Republic 85
LAW ON LAND TAX OF THE REPUBLIC OF LITHUANIA
SUPPLEMENT 2
Basing rate of land tax on agricultural land of the land
used for agricultural purposes] allotted for non-agricultural
purposes
Productivity marks Rate of land tax
of agricultural land roubles per 1 hectare per year
up to 17 140
17.1-19 155
19.1-21 170
21.1-23 185
23.1-25 200
25.1-27 215
27.1-29 230
29.1-31 245
31.1-33 260
33.1-35 275
35.1-37 290
37.1-39 305
39.1-41 320
41.1-43 335
43.1-45 350
45.1-47 365
47.1-49 380
49.1-51 395
51.1-53 410
53.1-55 425
55.1-57 440
57.1-59 455
59.1-61 470
61.1-63 485
63.1-65 500
65.1-67 515
67.1-69 530
59.1-71 545
71.1-73 560
73.1-75 590
77.1 and over 605