REPUBLIC OF LITHUANIA                                     
                                                                                
                               LAW                                              
                                                                                
                                                                                
                           ON LAND TAX                                          
                                                                                
                                                                                
         1. The Object of Taxation and Taxable Entities                         
                                                                                
     Article 1. The object of land tax shall be private land.                   
                                                                                
     Article 2.  Owners  of  private  land  shall  be  liable  to               
landtaxation.                                                                   
                                                                                
                         2. Rate of Tax                                         
                                                                                
     Article 3.  The annual  rate of land tax shall be 1.5 percent              
of the  cost of  the land  (in the  case of  forest  land  --  not              
including the value of trees).                                                  
                                                                                
                         3. Tax Reliefs                                         
                                                                                
     Article 4. Exempt from land tax shall be:                                  
     1) commonly used roads; and                                                
     2) plots  of land  belonging by  the right  of ownership  to               
diplomatic and  consular missions  of foreign  states (on  parity               
basis).                                                                         
                                                                                
     Article 5.  Tax reliefs  for land  under  protective  forest               
belts and  under natural  monuments, as well as for land used for               
the purposes  of nature  protection, shall  be established by the               
Government of  the Republic of Lithuania in coordination with the               
Department of Environmental Protection.                                         
     Tax reliefs for land under historical and cultural monuments               
shall be  established  by  the  Government  of  the  Republic  of               
Lithuania in  coordination  with  the  Inspectorate  of  Cultural               
Heritage.                                                                       
                                                                                
     Article 6. Exempt from land tax shall be land owners who are               
group I  and group  II invalids,  old-age pensioners  and minors,               
provided that  at the beginning of the taxation period, there are               
no persons  capable of  work in the families of said land owners,               
and provided  that the  size of  the land plot owned by them does               
not exceed  the tax  exempt area  of land established by city and               
district local government councils.                                             
     When granting  tax reliefs,  fulltime pupils  and students of              
educational institutions  shall not be regarded as persons capable              
of work.                                                                        
                                                                                
     Article 7.  Local government councils shall have the right to              
reduce the  amount of  land tax  or to  grant exemption  from  the              
payment of  land tax  compensating the  sums from their respective              
budgets.                                                                        
                                                                                
                                                                                
      4. Computation of Taxes and the Procedure of Payment                      
                                                                                
                                                                                
     Article  8.  The  amount  of  land  tax  shall  be  computed               
according to  the procedure  established by the Government of the               
Republic of Lithuania.                                                          
                                                                                
     Article 9. New land owners  shall pay taxes:                               
     1) for  the whole  year if  the land  is acquired during the               
first half of the year; and                                                     
     2) beginning  the following  calendar year  if the  land was               
acquired during the second half of the year.                                    
                                                                                
     Article 10. No tax shall be imposed on land:                               
     1) for  the same  year if the land is transferred during the               
first half of the year; and                                                     
     2) beginning  with the  next year if the land is transferred               
during the second half of the year.                                             
                                                                                
     Article 11.  The term  of the computation and payment of land              
tax shall be established by city and district boards.                           
                                                                                
     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               
reimbursements, 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 paid.                                                          
                                                                                
Vytautas Landsbergis                                                            
President                                                                       
Supreme Council                                                                 
Republic of Lithuania                                                           
Vilnius                                                                         
25 June 1992                                                                    
No. I-2675