From 18 May onward, banks will have to report private persons whose annual account turnover exceeds EUR 15,000, as provided by the Cabinet of Ministers’ supported order, under which the State Revenue Service is to be provided with information about a private person’s turnover and balance.
Finance Ministry’s developed rules include the order under which credit institutions and payment service providers are to report information to SRS about clients whose turnover amount on bank or payment service account is EUR 15,000 or more. Information of this kind is to be provided to SRS before 1 February of every year.
Information is to be provided electronically about persons that are Latvian residents.
Amendments to the Law on Taxes and Duties, which include this new order, were developed as part of the tax reform. The ministry explains that the goal of the new rules is improving society’s welfare and boosting supervision of tax payments. In addition, SRS, when planning tax control measures, will be able to use its resources more efficiently.