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/194041

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, no. 1) the following amendments: 1. Turn off the fourteenth part of article 1, the words "without reorganisation or".
2. Supplement article 2, third paragraph, after the words "agricultural service cooperative society" with the words "to comply with the laws and the criteria for receiving aid for rural development".
3. Supplement article 3, point 1.2 of the fourth paragraph after the words "agricultural service cooperative society" with the words "to comply with the laws and the criteria for receiving aid for rural development".
4. in article 6: make the first part of paragraph 6 by the following: "6) amount by which taxation period in comparison with the previous tax period is increased in accounts receivable for stocks (except the provisions established in accordance with article 7 of this law), which created and presented in the accounts of the paying agencies, and bad (lost, no hope of it ever recover) amounts receivable, included directly in the loss (cost);";
to make the fourth paragraph 3 by the following: "3) taxation period lost in accounts receivable amounts determined in accordance with article 9 of this law, and the amount that the taxation period in comparison with the previous tax period is reduced accounts receivable for stocks (except the provisions established in accordance with article 7 of this law), which created and presented in the accounts of the paying agencies except for the amount of the reduction which occurred during the retirement income receivable debts from stocks provided for; ".
5. To make article 7 by the following: ' article 7. Banks and credit unions the resulting receivables provision for inclusion in taxable income taxable income in banks and cooperative credit societies do not increase on the deduction amount for a tax period expenditure recognised in receivables for stocks, and not be reduced by the amount by which the tax period is reduced to create stocks (reversed previous taxation periods recognised expenditure) amounts receivable in accordance with the financial and capital market laws and regulations of the Commission prescribed savings. "
6. To supplement the law with article 7.1 as follows: "article 7.1. Bank loan capitalization (1) taxpayer-lenders — taxable income reduced by the divestment of shares of bank or increase the loss of disposal of shares, if the shares acquired and disposed of pursuant to the fourth paragraph of this article, all of these conditions.
(2) the taxpayer-lenders — taxable income will not increase for the editions include the capitalised value of the loan in the amount of the reduction, if the loan (except deposit) is invested in the bank's share capital.
(3) the Bank-borrower — do not reduce taxable income on the loan revenue write-down amount if loan that invested in fixed capital, is assessed at a lower value.
(4) the first and the second part is entitled to apply if this article satisfies all the conditions mentioned in part 1), a borrower, the bank's action plan on the financial position of the bank stability, submitted financial and capital market Commission, on the basis of the financial and capital market Commission and the decisions taken;
2) shares obtained by investing in bank loans as financial investment in fixed capital;
3) shares are transferred to 36 months from the date of acquisition.
(5) the provisions of this article shall not apply to loans that are to be considered as guaranteed deposits under the deposit guarantee law. "
7. Express article 8 by the following: ' article 8. Insurance and reinsurance undertakings of technical reserves for funds taxable income insurance and reinsurance companies not to increase their deductions for the amount credited to the technical provisions, and do not reduce the amount that is removed from these reserves and income redistribution in accordance with the insurance company and reinsurance supervisory law or the law. "
8. Make article 9, first paragraph, point 3 as follows: "3) customer is Latvian or another Member State of the European Union or the European economic area country, or countries resident resident with which Latvia has concluded conventions for the avoidance of double taxation and the prevention of fiscal evasion, if this is the entry into force of the Convention;".
9. Article 24: Add to the first paragraph after the number "1.1" with name and number "and 1.2";
Add to article 1.2 of the part as follows: "(12) the taxpayer in accordance with this law, article 3 paragraph 3 of part IV of the corporate income tax withheld from the interest payments that are included in the reference amount of the bank loan (made liability law pārjaunošan) before the capitalization that takes place according to this law, contributions to the budget of article 7.1, within 30 days after the disposition of the shares, but not later than 37 months of loan-share capital."
10. transitional provisions be supplemented by the following paragraph 81: "81. This law shall apply to income in article 7.1 or loss from the disposal of shares, if the shares acquired pursuant to the first subparagraph of that article, from 1 June 2009 to 31 December 2011. This law, in article 7.1, second and third subparagraph shall apply from 1 June 2009 to 31 December 2011. "
The Parliament adopted the law of 12 June 2009.
President Valdis Zatlers in Riga V. 30 June 2009 Editorial Note: the law shall enter into force on 14 July 2009.