# VAT on Digital Goods in Lithuania

> VAT rules for SaaS, digital products, and online services in Lithuania -- rates, thresholds, and compliance.

- **Jurisdiction**: Lithuania
- **Tax Type**: VAT
- **Standard Rate**: 21%
- **URL**: https://dodopayments.com/tax/vat-lithuania

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## How VAT Applies to Digital Goods

The **standard VAT rate** in Lithuania is **21%**.

Lithuania applies 21% VAT to digital services sold to Lithuanian consumers under EU destination rules. The country has a growing tech sector, particularly around fintech and SaaS, which means digital tax compliance is well-understood by local authorities.

Non-EU businesses can use the One Stop Shop (OSS) scheme for quarterly reporting, or register locally for monthly filing with VMI. Lithuania's i.MAS electronic invoicing system is used for B2B transactions and certain B2C scenarios. VAT returns are submitted monthly by the 25th of the following month. Records must be retained for 10 years.

## Registration Requirements

Non-resident digital service providers must register with **VMI (State Tax Inspectorate)** using the **LT VAT number** format. Registration should be completed before first taxable sales to Lithuania consumers.

## Filing and Compliance

Lithuania requires **monthly** VAT filing with VMI (State Tax Inspectorate). Maintain complete transaction records, tax calculations, and invoices for audit readiness.

## How Dodo Payments Handles This

As Merchant of Record, Dodo Payments calculates Lithuania VAT at checkout, collects tax from the customer, generates compliant invoices, and handles remittance -- removing the need for merchants to register or file separately.

## Related Pages

**Section:** [All Tax Guides](https://dodopayments.com/tax)
**See also:** [Lithuania](https://dodopayments.com/payments-in/lithuania) | [EUR](https://dodopayments.com/currency/eur)

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## About Dodo Payments

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