Invoicing without VAT when you are not VAT registered in Latvia

If you are not registered for VAT in Latvia, you charge and show no VAT, because anyone who shows VAT on an invoice must pay it to the budget (Section 84(10) of the Latvian VAT Act); the invoice itself must carry the details in Section 11(5) of the Accounting Act. You may stay unregistered while your domestic supplies stay within 50,000 euro in a calendar year (Section 59(1)); this is the rule as of September 2026.

Updated:

At a glance

Wording on the invoice
Piegādātājs nav reģistrēts PVN maksātāju reģistrā The law does not require this sentence (“the supplier is not registered for VAT”); it tells the customer why there is no VAT. We advise against “VAT 0%”: 0% is a rate for VAT payers.
VAT on the invoice
No VAT
Peppol VAT category
O · VATEX-EU-O
VAT return, supplier
No VAT return, since you are not in the VAT register.
Legal basis
Accounting Act, Section 11(5); VAT Act, Section 59

Sample invoice

Anna Parauga
Invoice No. AP-2026/017
Date of issue
25/09/2026
Due date
09/10/2026
Supplier Anna Parauga Taxpayer code 320000-00000 Parauga iela 91, Rīga, LV-1091
Customer SIA “Parauga Klients” Reg. No. 40000000002 VAT No. LV40000000002 Parauga iela 2, Jelgava, LV-3001
DescriptionQtyUnitUnit priceAmount
Translation from English12pages25.00300.00
Copy editing3h30.0090.00

Piegādātājs nav reģistrēts PVN maksātāju reģistrā (the supplier is not registered for VAT)

Total due
390.00 EUR
A specimen with made-up companies, numbers and amounts.

What the invoice must show

  • The document type, e.g. “Rēķins” (invoice), the date and a number (Accounting Act, Section 11(5), points 1 to 3).
  • Your name or trading name and registration number. A natural person in business who is not a registered sole trader shows name, surname and taxpayer registration code (point 4).
  • Details that identify the customer; for a private person, name and surname (points 5 and 6).
  • A description and the value in money (point 7). For goods and services also the unit, quantity, unit price, discounts and total (Cabinet Regulation No. 877, point 33).
  • No VAT rate, VAT amount or VAT number, since there are none.

Why you must not show VAT

Section 84(10) of the VAT Act is blunt: anyone who shows VAT on an invoice they issue pays that VAT to the budget. An unregistered business that adds 21% owes it, and cannot deduct any input VAT.

When you must register for VAT

  • When your domestic supplies excluding VAT exceed 50,000 euro in a calendar year: apply by the 15th of the following month (Section 59(1) and (5)).
  • If you exceed the threshold by no more than 5,000 euro, you may defer registration to the year end, applying by 30 November (or 31 December if exceeded after 30 November) (Section 59(4), (6) and (7)).
  • If you exceeded the threshold last year, you cannot stay unregistered this year (Section 59(10)).
  • Before providing services to businesses in other EU countries you must register, whatever your turnover (Section 55(1), point 3, and Section 59(8)).
  • If your purchases of goods from other EU countries reach 10,000 euro in a year, you register or use the special registration (Section 57).

E-invoices apply to you too

The Accounting Act’s rule that invoices to other companies registered in Latvia are structured e-invoices does not depend on VAT status: it already applies to invoices for public budget institutions, and to all other businesses from 1 January 2028.

In a Peppol e-invoice

The lines take VAT category O (not subject to VAT) with no rate, and the VAT breakdown carries VATEX-EU-O or the text “Not subject to VAT” (BR-O-10). Rule BR-O-02 forbids the seller’s and the buyer’s VAT numbers on such an invoice, so the parties are identified by registration number.

Common mistakes

  • Printing “VAT 21%” or “VAT 0%” while not registered. Any VAT shown must be paid to the budget.
  • Not tracking the 50,000 euro threshold and invoicing without VAT after crossing it.
  • Starting work for EU businesses without registering for VAT.
  • Leaving out the number or description the Accounting Act requires.

Frequently asked questions

How do I invoice in Latvia if I am not VAT registered?

With the details in Section 11(5) of the Accounting Act: document type, date, number, your and your customer’s details, description, quantity, price and total. No VAT is calculated or shown.

Must the invoice say I am not VAT registered?

The law does not require it, but a line such as “Piegādātājs nav reģistrēts PVN maksātāju reģistrā” (the supplier is not registered for VAT) explains the missing VAT.

What if I show VAT without being registered?

You must pay the VAT shown to the budget (Latvian VAT Act, Section 84(10)), and you cannot deduct input VAT.

When must I register for VAT in Latvia?

When your domestic supplies exceed 50,000 euro in a calendar year, or before your first service to a business in another EU country (VAT Act, Sections 59 and 55).

What does a self-employed person put on the invoice?

A natural person in business who is not a registered sole trader gives name, surname and taxpayer registration code (Accounting Act, Section 11(5), point 4).

Issue the invoice with the right VAT statement

Fakts keeps the reason on every 0% line, prints the statement under the lines and files the matching Peppol VAT category. The account is free.

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Sources