There are many different taxes in Lithuania. The following taxes and duties are considered to be the main ones: income tax of individuals; corporate income tax; value-added tax; excise duties; real estate tax; land tax; inheritance tax; and lottery and gambling tax.
From 1 January, 2019, the main taxes applied to employees are following:
- State social insurance (Sodra taxes): 19.5%;
- Personal income tax: 20% (if the wage doesn't exceed 84 average wages which is Eur 104 277,6 per year), 32% (if the salary does exceed 84 average wages per year);
- Tier II pension: 2% (optional).
The employer shall additionally pay:
- 1.47% social security contribution;
- 0.32% the guarantee fund and long-term unemployment contribution.
Employers are required to contribute towards allowances payable to employees during their employment. These allowances include sick pay, maternity pay and paternity pay etc.