Amendments To The Law "on Enterprise Income Tax"

Original Language Title: Grozījumi likumā "Par uzņēmumu ienākuma nodokli"

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Read the untranslated law here: https://www.vestnesis.lv/ta/id/242011

The Saeima has adopted and the President promulgated the following laws: the amendments to the law "on enterprise income tax" to make the law "on enterprise income tax" (Latvian Saeima and the Cabinet of Ministers rapporteur, 1995, 7, 24 no; 1996, nr. 9, 15; 1997, no. 8, 24; 1998, nr. 8, 21; 1999, no. 6, 24; 2000, no. 9; 2001, 1, 5, 24 no; 2003; 2005, 15 No 2. 24. no; in 2006, no 1; 2007, 3, 12, no. 24; 2009, 1., 15., no. 21; Latvian journal, 2009, 175, 200. no; 2010, 102, 131, no. 170, 206) the amendments are as follows: 1. Article 1: twenty-seventh part to replace the words "and transport and construction (structure classification code 21)" with the words and figures "transport structures (structure classification code 21) and pipelines, communication and power lines (structure classification code 22)";
replace the twenty-eighth, the word "all" with the words "of any kind".
2. in article 3: turn off the fourth parts 1, 3 and 4;
4.2, 4.3, 4.4 off and 4.6;
turn off the eighth part 1;
turn off the eleventh, twelfth, thirteenth and fourteenth.
3. Replace article 4, first paragraph, the words "and the number for which the contributor applied this law in article 20.1 corporate income tax credit" with the words "If the donation target set in the donation recipient, do not include the direct or indirect reference to a specific donated funds to the recipient that is associated with the donor company or affiliated person or employee, or the donor family member, as well as the donation does not perform the requested remuneration practices that focus on the benefit to the donor, the donor related company or person donating a relative to the third degree, or the spouse or ensure the interests of the donors who are not related to philanthropy ".
4. Supplement article 5 to eighth by the following: "(8) to the expenditure that is not directly related to economic activity, do not include a credit institution's mortgage payments for living expenses incurred by the collection process, the subject of a takeover of the mortgage and real estate tax payments (including the late) that the debtor has not done for the corresponding portfolio of real estate, if you saved the right to reclaim these payments from the debtor or debt is not forgiven for because the collection is in court is not possible for reasons of efficiency due to the debt amount is less than with the recovery of the associated costs, but on this amortization information is sent to the customer. "
5. in article 6: turn off the first part of paragraph 7;
make the first part of paragraph 8 by the following: ' 8) loss arising from the disposal of shares; "
to supplement the first part with point 20 as follows: "20) pledged property maintenance costs, as well as the real estate tax payments paid to the credit institution.";
replace the third paragraph, the number "8" with the number "9";
turn off the fourth part 6 names and number "or if the reserve has been established in accordance with this law, article 8.1";
to make the fourth part of paragraph 9 by the following: "9) on income from stock transfer, except where a corporation whose stock transfer took place, is a resident of a country or territory, in accordance with the provisions of the laws has been recognized as free and low taxation countries or territory;"
Add to fourth with 14 points by the following: "14) on the amounts, in accordance with the decision of the Court of Justice or the legal protection process of out-of-court redress process is deleted or reduced credit if they are included in the taxpayer's taxable income and are not reported in the taxpayer's expenditure.";
Add to sixth after the words "Member States of the European Union" (the relevant number and fold) throughout the text with the words "European economic area" (where the number and fold).
6. turn off 8.1 article.
7. Supplement article 9 with 1.2 and 1.3 in part as follows: "(12) if the first part of this article 1, 2, and 3. the conditions of paragraph and all corresponding debt collection and recovery activities, taxable income in accordance with article 6 of this law, the first subparagraph of paragraph 6 and the fourth paragraph of point 3 may be reduced by the amount of the lost: 1) which are recognised in accordance with the register of claims of creditors When the Court has approved the debtor-legal entity, the partnership or the individual merchant — completion of the insolvency proceedings;
2) which are recognised in accordance with the claims of creditors, the Court has approved the customer — natural persons — the completion of the bankruptcy proceedings;
3) in accordance with the decision of the Court meet the legal protection of the debtor in the proceedings or extrajudicial remedies of legal protection in the process of the process set out in the action plan commensurate with the principal sum, interest or penalty for deletion or reduction of approximately.
(13) This part shall apply in article 1.1 the customer's debts if the debtor insolvency process is underway until 2007 December 31 and the insolvency process is applied to the law "on insolvency of undertakings and companies". If the debtor's insolvency process is initiated during the period from 1 January 2008 until 31 October 2010 and the insolvency process is applied in the period of the force in the former provisions of the insolvency law, lost debt written off in accordance with paragraph 1.1. "
8. in article 11: replace the first paragraph, the words "domestic enterprises" with the words "taxable person";
make the second paragraph as follows: "(2) a taxpayer's taxable income is increased by the amount of dividends receivable from paying dividends, which is a national or resident of the territory, in accordance with the provisions of the laws has been recognized as free and low taxation in the country or territory. ';
turn off the third, fourth and fifth.
9. in article 14: make the first paragraph by the following:

"(1) where under this Act made to the taxpayer's tax period for the adjustment of profit or loss is the loss incurred to the year 2007, it can cover the chronological order of the next eight tax period taxable income. If under this Act made to the taxpayer's tax period for the adjustment of profit or loss is the loss incurred during the tax period, which began in 2008, or after, you can cover the chronological order of the next tax period taxable income. ";
replace the words "in part 1.2 chronological order not more than eight periods of taxation" by the words "in accordance with the procedure laid down in the first subparagraph ';
express the sixth part as follows: "(6) by a taxable person who is registered and operates according to the law on regional development within a particular area, assisted the first tax period referred to the losses incurred up to 2004, can cover in chronological order from the next ten tax period taxable income. If under this Act made to the taxpayer's tax period for the adjustment of profit or loss is the loss incurred during the tax period, which began in 2005, or after, you can cover the chronological order of the next tax period taxable income. A taxable person who is registered and operates according to the law on regional development within a particular area, the eligible 1.1 of this article referred to the tax period of losses may be covered in chronological order from the next six tax period taxable income. ";
turn off the eighth and 8.1.
10. in article 17.2: Supplement to article 1.1 part as follows: "(11) If a taxable person in addition to the aid provided for in this article shall receive State aid, other Cabinet determines the maximum percentage that may be achieved tax discount amount in relation to the initial amount of investment for the long-term."
replace the fourth subparagraph of paragraph 1 the figure "5" with the number "3";
replace the fourth subparagraphs in paragraph 2, the word "three" with the word "five" and the word "support" with the words "support";
the fourth part of the present paragraph 6 by the following: "6) is made in the aided investment project. The economic Ministry has evaluated the eligible investment project impact on the national economy, as well as whether the project, which the original long-term investments amount exceeds 35 million lats, not lead to restrictions on competition and on the basis of this assessment, the Cabinet of Ministers has adopted a decision on the investment project to be supported. Cabinet of Ministers decision on eligible investment project approval or refusal to adopt within two months from the date on which the eligible investment projects was received in the Ministry of the economy. "
Supplement fifth after "benefits" with the words "in respect of eligible investment projects carried out in the framework of the initial long-term investment";
to make the eighth part of paragraph 1 by the following: "1) food manufacturing (NACE C10);";
the eighth part of the present paragraph 8 by the following: ' 8) manufacture of fabricated metal products (NACE C25), except for machinery and equipment, as well as weapons and ammunition production (NACE C 25.4); ";
replace the eighth part of paragraph 13, the word "boat" with the words "floating equipment";
to complement the eighth with 13.1 points as follows: "131) manufacture of furniture (NACE C31);";
adding to the eleventh subparagraph with the words and figures "(Official Journal of the European Union, august 9, 2008, no L 214)".
11. Supplement article 23 with 1.2 part as follows: "(12) corporate income tax advance payments can take months in which economic activity is stopped, if the State revenue service has filed an application for the suspension of economic activity."
12. off article 1.2.
13. Express article 27 paragraph 10 by the following: ' 10) procedures shall be submitted and judged the investment project the application of eligible investment project status, the conditions applicable to the tax rebates together with other support, as well as provides information to the Ministry of Economic Affairs on the implementation of the project. "
14. transitional provisions: exclude paragraph 26, the words "or other laws";
Replace in paragraph 99 of the number "2016." with the number "2018.";
transitional provisions be supplemented by 100., 101, 102., 103, 104, 105., 106 and 107 of the following paragraph: "100. amendments relating to article 3 of the law of the fourth part, part 1, point 4.2 and eighth off point 1 of part a shall enter into force on January 1, 2013.
101. In respect of article 3 of the law of the fourth subparagraph of paragraph 3 and 4, 4.3, 4.4 and 4.6 and 1.2 parts article 24 exclusion comes into force 1 July 2013 and is applicable to the interest and payment for intellectual property payments made by the Member States of the European Union related to the public or its Permanent Mission after 30 June 2013, but from 1 January 2014, these amendments are applicable to all the interest and payment for intellectual property payments that is made after 31 December 2013.
102. with regard to the amendment to article 3 of the law, the eleventh, twelfth and thirteenth fourteenth part of the exclusion shall enter into force on January 1, 2014. From 1 January 2013 to 31 December 2013 in respect of article 3 of this law in the thirteenth and fourteenth, part the following framework:

1) if the interest or pay for intellectual property at the time of paying costs of disposal has not been the country of residence of the recipient of income tax certificate issued by the administration or by virtue of this law, article 3 of the fourteenth and the documents referred to in part 3 of the fourth part of article 3 or in paragraph 4, the specific exemption has been applied to the cost of the income at the moment, but the income the recipient believes that it is entitled to use it, then the overpaid tax amounts for the recovery of income recipients within a period of three years from the date of payment shall be submitted to the State revenue service income recipient country of residence tax administration issued a certificate or the aizvietojošo of this law, article 3 of the fourteenth part of the documents confirming that the income at the time of the company's cost-income recipient meets all article 1 this Law 19.1 part. After a decision on the repayment of excess tax, the State Revenue Service released in addition to the amount collected to the law "on taxes and duties" in the order and within the time limits. The application of the income recipient's country of residence certificate issued by the tax administration or the substitution documents shall be valid only for the repayment of the excess tax withheld from income, which at the time they approved the cost that the company — income the recipient meets all article 1 this Law 19.1 part;
2 If the company — interest) or payment for intellectual property in the country of residence of the beneficiary of the tax administration does not issue a separate statement, confirming that the company meets all article 1 this Law 19.1 part, then this law, article 3 of the fourth paragraph in point 3 or 4, the specific exemption from withholding tax is applicable on the basis of the certificate of residence, by the national tax administration issued by this country and the agreement of the Republic of Latvia for the avoidance of double taxation for the application and to the public interest or fees — intellectual property — the recipient authorized representative certifying State revenue that the company — income recipient matches the rest of the article 1 of this Law 19.1 part.
Amendment 103 article 4 of the law in the first subparagraph is applicable to donations made, starting with the tax period, which begins in 2011.
104. with regard to the amendment of the law article 6, first paragraph, point 7, point 8 of the exclusion and paragraph 9 of part IV of the new version of the amendment Act, article 11, first paragraph, of the Act in respect of the second subparagraph of article 11 of the new version of the expression, and the third, fourth and fifth parts of the shutdown, as well as article 14, the eighth and the exclusion of applicable parts 8.1, starting with the tax period, which starts in 2013.
105. Article 9 of the Act is applicable to the part 1.2 lost debt amounts, if a judicial decision on the completion of the insolvency proceedings or the completion of bankruptcy procedures is adopted in accordance with the Parliament of 26 July 2010 adopted in insolvency law, also calculating the taxable income for the tax period, which started before the entry into force of this law.
106. the amendment of the law in the fifth subparagraph of article 17.2 shall apply, starting with the tax period, which begins in 2011.
107. a taxable person Micro, who, starting with January 1, 2012, does not want the future to save the tax payer's micro status, article 25 of the law's application referred to in the fourth subparagraph shall be submitted by 15 January of 2012. "
The law shall enter into force on January 1, 2012.
The law adopted by the Parliament in 2011 on 15 December.
The President a. Smith in 2011 December 29.