Lithuania: Proposed amendments to Corporate Income Tax Law

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The Government of the Republic of Lithuania has announced its plan to amend the Law on Corporate Income Tax (CIT) with respect to the taxation of income received from undertakings for collective investment.

The amendments will, among other things, abolish the 15% current withholding tax on dividends paid to non-residents investing in shares of Lithuanian corporate investment funds.

Note: This exemption will not apply to foreign undertakings registered in offshore territories.

If approved by Parliament, the amendments should come into effect on 1 January 2012.

We will continue to monitor these CIT amendments for any new developments and will provide more information as it becomes available.