History of Latvia
One of the three Baltic States, the Republic of Latvia regained its independence in 1991. A member of the European Union since 2004, the country, which borders the Baltic Sea in the north of Europe, has experienced a period of strong growth. Latvia is very advantageously located in the centre of Europe and is an attractive business hub.
Latvia as Onshore Centre
Latvia is well-known for its attractive tax system and for developing its economy by applying Western European policies. The creation of an onshore company in Latvia is especially advantageous for imports and exports. The country guarantees a high level of confidentiality and simplifies accounting for non-resident investors.
On 1 January 2013, Latvia established a zero-tax regime for subsidiaries and shareholdings, making it an excellent destination for holding companies. In addition, since Latvia is part of Europe, this status allows you to have a company anywhere in Europe and pass on the profits to Latvia without withholding tax being deducted. The Latvian company may then transfer its profits offshore, without further taxation. Shares in the holding company may, for example, be held by a corporation in Ras al Khaimah or other zero tax area.
Types of Latvian Company
Latvia offers the following types of companies:
Link : Trade Register
|Types of companies
||Number of Shareholders, Members or Partners
|Limited liability company
||2000 LVL minimum
||At least one shareholder, limited liability.
|Public limited company
||25000 LVL minimum
||At least two shareholders, unlimited liability.
||Minimum of two partners, unlimited liability for debts and obligations, liability is joint and several.
||At least two partners, one general partner must assume unlimited liability but all limited partners enjoy limited liability.
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