Registering a company in Lithuania takes days. Keeping its books from the first transaction is the part that never stops. This guide lists what the rules require in the first year, using the tax authority (VMI) and the Centre of Registers as sources, and shows where a bookkeeping subscription fits.
Keep accounts from the first transaction
Under the Law on Financial Accounting, a Lithuanian company keeps accounts and supports every entry with a document: an invoice, a receipt, a bank statement. Registration costs, the share capital deposit and the first invoices all belong in the books of the period they happen in.
A quiet company is not exempt. The Centre of Registers states that a legal entity that is temporarily not trading is still treated as active and still has to file its financial statements.
The annual deadline
The annual financial statements must be approved within 4 months of the end of the financial year and filed with the Centre of Registers within 30 days of approval. The Centre of Registers warns that missing the deadline can bring liability for the company and its manager. For a small partnership (MB) with a calendar financial year, the Ministry of Finance gives 30 May as the last day to file.
VAT: when registration becomes mandatory
Since 1 May 2025 a company must register as a VAT payer when its taxable income from Lithuania exceeds €45,000 in the current or the previous calendar year. The second trigger is acquiring more than €14,000 of goods from other EU countries in the same period. Registration is requested through Mano VMI, and VMI decides within 3 working days, or after you supply any extra documents it asks for.
The practical point for year one: track income against €45,000 from the first invoice, because the obligation depends on the figure in the books.
Income tax in the first two years
From 2026, a newly registered small company pays 0% corporate income tax for its first two tax periods, if all of these hold:
- income in each tax period is no more than €300,000;
- the participants are only natural persons, and the company does not meet the related-entity conditions in article 5(3) of the Law on Corporate Income Tax;
- over three consecutive tax periods, including the first two, the company does not suspend activity, is not liquidated or reorganised, and its shares are not transferred to new participants.
The standard rate is 17%, and small entities with income up to €300,000 pay 7% when the 0% rate does not apply. Whether the conditions are met is checked period by period, so the books need to show income, ownership changes and dates clearly.
What good bookkeeping looks like in year one
- Every invoice and receipt is recorded in the period it belongs to, with the document kept.
- The bank statement is reconciled against the books every month.
- Income is watched against the €45,000 VAT limit and the €300,000 income tax limit.
- The annual approval and filing dates are in the calendar from the start.
Where Bookkeeping Lithuania fits
With Bookkeeping Lithuania you upload invoices and bank statements to your own private FiscFort portal. The platform prepares the books and the Lithuanian filings, and a partner accountant reviews, signs off and files them. Nothing is submitted to the authorities automatically. The price is €150 per business per month plus VAT, and FiscFort is your contracting party for the whole service. How the accountant side is organised is described in the partner programme article.
Frequently asked questions
Do I need bookkeeping if the company has no income yet?
Yes. A company that is not trading is still treated as active in the Register of Legal Entities and still has to file its annual financial statements, according to the Centre of Registers. Someone has to prepare them from the books.
When must a new company register for VAT?
When its taxable income from Lithuania in the current or the previous calendar year exceeds €45,000, or when it acquires more than €14,000 of goods from other EU countries. Registration is requested through Mano VMI.
Does the 0% income tax rate apply automatically?
Only if all the conditions are met: income of up to €300,000 in the tax period, participants who are only natural persons, and no suspension, liquidation, reorganisation or sale of shares to new participants over three consecutive periods. Check the conditions every tax period with your accountant.
What is the deadline for the annual financial statements?
They are approved within 4 months of the end of the financial year and filed with the Register within 30 days of approval. For an MB with a calendar financial year, the Ministry of Finance gives 30 May as the last day.
What does Bookkeeping Lithuania cost?
€150 per business per month, plus VAT. VAT is calculated at checkout.
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Sources
- VMI — VAT payers and the registration thresholds
- VMI — how to register as a VAT payer
- VMI — corporate income tax changes from 2026 (0% and 7% rates)
- Centre of Registers — filing annual financial statements, deadlines and inactive companies
- Centre of Registers — deadline to approve and file statements
- Ministry of Finance — explanation on MB financial statements deadlines
- Law on Financial Accounting (IX-574), e-tar.lt