Corporate income tax
What a distribution costs a company, in either direction, and what Latvia withholds on a payment abroad. It is not a percentage of what you pay out.
Corporate income tax calculator
Latvian corporate income tax, at the rates in the ledger of the corporate income tax guide.
- Reaches the shareholder
- EUR 80,000.00
- Taxable base, the distribution divided by 0.8
- EUR 100,000.00
- Corporate income tax, 20%
- − EUR 20,000.00
- Total the company parts with
- EUR 100,000.00
- Tax as a share of the profit
- 20%
- Tax as a share of what arrives
- 25%
Both of those are true and they describe the same payment. The statute sets the first; the second is what a founder deciding whether to take money out is actually choosing against. A Latvian shareholder pays no further income tax on a dividend that has borne this.
Every rate above is read from the ledger in Latvia Only Taxes Profit When You Take It Out, last checked 8 September 2026. That guide carries what a calculator cannot: who each rule does not apply to, what changes above a threshold, when a declaration is required, and what the figure is not.