A company carrying on licensed commercial activity under a free zone regime, in addition to the direct tax reliefs, can receive a permit to import and store in its territory the goods, which shall not be subject to the customs duties (customs duty, VAT, excise duty) if the goods are intended for further export from the customs territory of the Union.

A free zone company shall be fully exempted or shall pay a reduced rate of excise duty on fuel used in the company's territory – by ships, vehicles, port facilities, as well as shall be exempted from the VAT on goods invested in fixed assets.

Indirect tax reliefs

For a free zone company:

  • 100%
    VAT (fixed assets)
  • up to 100%
    Excise tax (fuel)

Importing and storing goods at a free zone company: 

  • 100%
    Customs tax
  • 100%
  • 100%
    Excise tax

Customs procedures facilitation

The territory of free zone company is considered to be part of the customs territory of the European Union. It shall be demarcated accordingly, provided with access control points and security personnel so that the movement of goods, persons and vehicles can be controlled in accordance with customs requirements.

Companies of the Freeport of Riga that carry out licensed commercial activities under a free zone regime can offer their customers all the advantages of the customs territory while importing and storing goods:

  • unlimited storage of goods without customs clearance;
  • the possibility of exporting or customs clearance of goods in installments.

In addition, customs procedures are further facilitated at a free zone company: 

  • no customs declaration of the goods is required, only their registration must be carried out in accordance with the procedures approved by the customs authorities; 
  • no customs guarantee is required, which is particularly advantageous for the storage of excise goods (such as petroleum products), the provision of which requires considerable resources. 

The compliance of the territory of the Freeport of Riga companies with the conditions of a free zone regime, as well as the compliance with the customs regime is controlled by the State Revenue Service. 

Tax relief requirements

VAT and excise duty rebates, as well as the permit to import and store goods which shall be exempted from customs duties if they are intended for export from the customs territory of the Union, as well as the relevant free zone customs regime may be granted to any operator at the port of Riga, which: 

  1. has entered into an agreement with the Freeport of Riga Authority in regards of land lease or granting the right of superficies in the Freeport of Riga;
  2. has received a permit for carrying out licensed commercial activities in the Freeport of Riga, which is issued by the Freeport of Riga Authority for 5 years in accordance with the law;
  3. has received a reference from the State Revenue Service certifying that the territory of the company complies with the implementation of a free zone regime;
  4. has received a permit from the Freeport of Riga Authority to carry out licensed commercial activities under a free zone regime.

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