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 no 2) follows : 1. Replace the entire law, the word "entrepreneurship" (fold) with the words "economic activity" Syme (the fold).
2. in article 1: to exclude the words "within the meaning of this Act";
replace the second paragraph, the words "all companies and company" with the words "company, a cooperative society or any other private-law legal person";
make the third paragraph as follows: "(3) related companies: two or more companies or cooperatives, if: 1) they are mother and daughter business;
2) one company or co-operative society in the second part of a company or cooperative society are 20 to 50 percent, and the company does not have a majority vote;
3) more than 50 percent of the share capital, the share or shares the values in each of these two or more companies or cooperatives (or company and cooperative society) own or by contract or otherwise has decisive influence on these two or more companies or cooperative societies (or company and cooperative society): a) the same person and that person's relatives to the third degree if the person's spouse or affinity with that person in up to the second degree, b) or more, but not more than 10 of the same persons, c) or company or cooperative society, in which a natural person (or their relatives up to the third degree, or spouse, or the person existing affinity up to the second degree) owns, directly or indirectly, more than 50 percent of the company's share capital or shares or shares of the cooperative society values;
4) the same person or the same persons are the majority of these companies or cooperative societies (or commercial companies and cooperative societies) regulatory bodies;
5) between these commercial companies or cooperatives (or commercial companies and cooperatives) in addition to the agreement on a specific transaction in any form is an agreement (including an agreement that is not made known to the public) of any unforeseen additional remuneration or in that other types of the public action coherent tax reduction purposes. ";
express the fifth and sixth the following: "(5) a person associated with the company, the person (an individual's case, the relatives up to the third degree, or spouse, or the person existing affinity up to the second degree) owns more than 50 percent of the company's share capital or shares or cooperative society shares value or (in the case of physical persons: the relatives up to the third degree, or spouse or affinity with that person in up to the second degree) by contract or otherwise, is granted a decisive influence in the company or cooperative society.
(6) dividends – cash or other things from the Corporation's shares or shares or shares in the cooperative society, or other debt obligations not resulting from rights to participate in the Corporation or cooperative society profits. This term does not apply to income in cash or in other cases, received by commercial companies or cooperative societies in the event of liquidation, as well as partnership distributions. ";
replace the words "the twentieth part of a company's stock, shares, of the capital" with the words "Corporation of the share or shares and shares of a cooperative society" and the words "relevant company" with the words "relevant Corporation or cooperative society";
to supplement the article with twenty-second, twenty-third and twenty-fourth paragraph by the following: "(22) the transfer of the registered office-the process in which the European company or European cooperative societies do not finally action and not creating a new legal entity transfers its registered office from the Republic of Latvia to the other Member States of the European Union or the Republic of Iceland or the Kingdom of Norway, or the Principality of Liechtenstein.
(23) the parent company — the company that shares in another company exceeds 50 percent or other company is in majority.
(24) a subsidiary of the company, in which the participation of the parent company's share exceeds 50 percent, or in which the parent company has the majority. "
3. in article 2: make the first part of paragraph 1 by the following: "1) referred to in this paragraph, all operating personnel (residents): a), (b)) the domestic enterprises of the State budget-funded institutions which are not subject to this article, the second, third and fourth subparagraphs, c), the conditions of the municipal budget funded institutions that derive income from economic activities and SAIM not covered by this article, the second, third and fourth subparagraphs;";
Replace paragraph 2 of the first paragraph, the words "company, company" with the word "company";
to make the second and the third part as follows: "(2) the corporate income tax does not pay: 1) natural persons;
2) individual (family) enterprises (also the farmers and fishermen of the farm), which according to the law "on the annual accounts of companies" not to submit an annual report;
3) financed from the national budget authorities, with income from operating activities for the State budget;
4) from the municipal budget to finance institutions whose income from operating activities for local government budgets;
5) private pension funds;
6), Foundation of the society, if it's open or hidden Treaty goal is not profit or capital gain dividend to their members;
7) religious organizations, trade unions and political parties.
(3) a partnership, agricultural service cooperatives, housing cooperatives, the owner of the car in the garage owners ' cooperatives, boat owners garage cooperatives and horticultural cooperative society corporate income tax does not pay yourself. Each Member of the partnership paid the personal income tax or corporate income tax on the taxable income of the partnership due portion, but agricultural service cooperative society member, of the respective cooperative society distributed surplus part, while the owners of the housing cooperative society, car garage owners cooperative society, a boat garage owners ' cooperatives or cooperative society of horticulture Member — for the distributed profit. "
4. in article 3: Supplement to the fourth subparagraph of point 1.2 in the following wording: "12") agricultural service cooperative society the corresponding surplus distributed cooperative society and housing cooperatives, the owner of the car in the garage owners ' cooperatives, boat owners garage cooperatives and horticultural cooperative society members retained earnings — 15 percent of those payments; "
to make the seventh subparagraph by the following: "(7) the tax period is taxable in the year in accordance with the law" on accounting ", the law" On the annual accounts of credit institutions, the law or "insurance company and under the supervision of the law, if the law does not provide for a tax period different time."
5. in article 4: to supplement the first subparagraph following the words ' insurance company and under the supervision of the law "with the words" or investment management company, or financial law ins trument market law ";
Express 1.1 part as follows: "(11) other taxable persons that were not subject to the law on annual accounts of companies or credit institutions law" or law of credit unions or insurance companies and supervision Act, or investment management company, or financial instruments market law, which derives revenue from economic activities and are not covered by article 2 of this law, the second, third and fourth , IIT is the difference between the revenue from economic activities and that gain revenue expenditure and is adjusted in accordance with this law. "
6. Article 5: make the first paragraph by the following:

"(1) To expenditure which is not directly related to economic activity, added to all domestic business and permanent representation expenses of the owner or employee of leisure, holiday travel, recreation activities and with economic activity unrelated owner or employee travel by road, the taxpayer benefits, donations, the dāvinājumo converted to credits and loans, as well as other costs, in cash or in other cases (in kind) owners or employees who are not listed as remuneration for work done or not related to the domestic company and the permanent representation in economic activity."
replace the fourth subparagraph, the word "company" (the fold) with the words "taxable person" (fold).
7. in article 6: replace the introductory part of the first subparagraph, the word "business" with the words "taxable person";
Replace paragraph 3 of the first paragraph, the word "establishments" with the word "Corporation";
replace the first subparagraph of paragraph 4, the word "company" with the words "taxable person";
replace the first paragraph 5 and paragraph 12, the word "company" (the fold) with the words "taxable person" (fold);
Add to the first paragraph of point 6 in brackets after the word "credit" with the words "or credit unions";
replace the second paragraph, the word "companies" with the word "Corporation";
replace the third paragraph, the words "Corporation" with the words "taxable earnings" and the words "your company" with the words "your (your company or cooperative society)";
replace the introductory paragraph of the fourth subparagraph, the word "company" with the words "taxable person";
adding to the fourth paragraph of point 3 in parentheses after the word "credit" with the words "or credit unions";
to make the fourth part of paragraph 5 by the following: "5) if it is privatized State or municipal corporation, income from capital, of the negative goodwill (the difference between the purchase price of a capital company, and these corporations value), which can not be deleted, reducing the carrying amount of the funds obtained;"
replace the fourth subparagraph of paragraph 8, the word "company" with the words "taxable person";
adding to the fourth subparagraph of paragraph 11 with the following: "11") about the compulsory copies of production costs, which, in accordance with the law of legal deposit National Library of Latvia delivered. ";
turn off the 5.1 and 5.2;
Add to article 5.3 part as follows: "(53) in determining the taxable income not taken into account the results of the revaluation of assets that is investment property, biological assets and held-for the long-term investment and are measured at fair value. The tax period in which these assets are seized, the taxable taxable income from these assets is defined as the transfer of the receivables and the original book value. ";
express the sixth part as follows: "(6) in determining the taxable income of the taxpayer's profit may be reduced on the payment of insurance premiums according to the law" on insurance contract "made in Latvia registered insurance companies set up under the supervision of insurance undertakings and their laws, or other Member States of the European Union of insurance companies established in accordance with the relevant European Union legislation and its employee benefit private pension funds contributions made according to the law" on private pension funds, "or analogous nature of private pension funds in other European Union in the Member States. These terms also apply to other countries (which are not members of the European Union) insurance undertakings the payment of insurance premiums on the insurance services provided in Latvia or another Member State of the European Union registered insurance companies. "
replace the eleventh and twelfth paragraph the word "company" (the fold) with the words "taxable person" (fold);
to supplement the article with the fourteenth and fifteenth part as follows: "(14) the European company or European cooperative society taxable income (tax period in which it carries out the transfer of the registered office of the Republic of Latvia), provision shall not be taken into account and the reserves to the transfer of the registered office of the Republic of Latvia established the society in Latvia, where they transferred to the relevant European company or European cooperative society with regard to the permanent representation of the Republic of Latvia It creates, through the transfer of the registered office of the Republic of Latvia. However, this part does not apply to provisions and reserves to the transfer of the registered office is established in relation to the permanent representations of the company outside the Republic of Latvia.
(15) the taxation period in which the transfer of the registered office of the Republic of Latvia, in determining the taxable income of the permanent representation (created by the transfer of the registered office of the Republic of Latvia), provision shall not be taken into account and the reserves to the transfer of the registered office of the Republic of Latvia is created in the relevant European company or European cooperative society in the Republic of Latvia (excluding accruals and reserves created in relation to the permanent representations of the company outside the Republic of Latvia) If the provisions and reserves are transferred to the relevant European company or European cooperative society with regard to the permanent representation of the Republic of Latvia. If this article is taken over in part in the savings and the amount of provisions the European company reorganized or European cooperative society in the Republic of Latvia pirmstaksācij periods have been included in taxable income in accordance with the third paragraph of this article, the permanent representation of the scrapped the accrual amount may be reduced taxable income. "
8. Replace the second paragraph of article 6, the words "emergency (winding-up) balance" with the words "closing" of the financial statements.
9.6.4 article: put fourth by the following: "(4) the first and second subparagraphs shall not apply to credit institutions and insurance companies, as well as interest payments on loans and borrowings received from the Republic of Latvia or another Member State of the European Union credit institutions, which the Republic of Latvia, the Nordic investment bank and of the World Bank Group.";
to supplement the article with a fifth by the following: "(5) in this article, the taxable income adjustment for interest payments is applicable to all types of interest payments on debt obligations, as well as any other duties after the transaction's economic substance is interest payments regardless of the legal form of the transaction."
10. To supplement article 7, after the word "credit institution" (fold) with the words "Credit Union" or (the fold).
11. in article 8.1: replace the second paragraph, the words "company" with the word "Corporation" and the words "this company" with the words "the Corporation";
replace the fourth subparagraph, the words "the company has not purchased" with the words "Corporation is acquiring";
replace the sixth paragraph, the words "company" with the word "Corporation".
12. Article 9: replace the first subparagraph of paragraph 2, the words "company" with the words "taxable person";
Replace paragraph 4 of the first paragraph, the words "company that eliminated" with the words "company, which eliminated capital";
replace the first subparagraph of paragraph 6, the words "the company: a customer is turned off" with the words "company – the customer is off";
Add to paragraph 7 of the first paragraph after the word "cannot" with the words "or if the customer shows drive in court is not possible for reasons of usefulness due to customer debt amount is less than with the recovery of the associated costs, if the above measures are taken for the recovery of the debt, provided that the relevant customer debt amount does not exceed 0.2% of the taxpayer's taxation year net change";
Replace in the second, third and fourth paragraph, the words "company" (the fold) with the words "taxable person" (fold).
13. Article 11: to complement the second subparagraph of paragraph 1, after the word "third" with the words "fourth and fifth";
Replace in paragraph 2, the words "companies that apply the law" on foreign investments in the Republic of Latvia "in certain corporate income tax incentives or" with the words "Corporation, which apply" and add to the point after the words "income tax" with the words "as well as the owners of housing cooperatives, car garage of cooperatives, owner boat garage owners ' cooperatives and cooperatives of horticulture".
14. in article 12:

replace the first paragraph, the words "the company" with the words "the company";
to make the second part of paragraph 1 by the following: "1) fixed asset value difference that occurs when the assets at prices that are lower than market prices, are sold to a company related parties, related foreign companies or companies that are exempt from corporate income tax, or used in other law of the Republic of Latvia to the corporate tax reductions or exemptions, or related company with tax payer form one of this law, in article 14.1, the Group of enterprises";
to complement the second part with 1.1 as follows: ' 11) assets the difference that occurs if the assets at prices that are higher than market prices, with the company being purchased from related parties, related enterprises or from commercial companies, which are exempt from corporate income tax, or used in other law of the Republic of Latvia to the corporate tax reductions or exemptions, or from related company that the tax constitutes one of this law, in article 14.1, the Group of enterprises ";
Express 2 and the second subparagraph of paragraph 3, the following "2) goods (products, services) the value of the margin (margin), which occurs when the goods (products, services) at prices lower than market prices, are sold to associated enterprises, related company with tax payer form one of this law, in article 14.1, the Group of enterprises and commercial companies or cooperatives, which are exempt from corporate income tax, or used in other law of the Republic of Latvia enterprise income tax rebate , or if the goods (products, services) at prices lower than market prices, are sold with related parties of the company;
3) goods (products, services) the value of the margin (margin), which occurs when the goods (products, services) at prices that are higher than market prices, are bought from related enterprises, from a related company, which by a taxable person consists of this law, in article 14.1, the company group, and from commercial companies or cooperatives, which are exempt from corporate income tax, or used in other laws of the Republic of Latvia in certain corporate income tax discounts or if the goods (production , services) at prices that are higher than market prices, with the company being acquired from related parties; "
Replace paragraph 4 of the second paragraph, the words "companies" with the words "the said company;
off in the third paragraph, the words "in accordance with the law" on foreign investments in the Republic of Latvia ";
in the fourth paragraph, replace the words "other business or person, if they are, are created or established" with the words "another company or person, if they are, are created or established".
15. Article 13: to supplement paragraph 2 first subparagraph "a" after the words "the bottom point of the mining ship" with the words and figures "new — after 31 December 2005 for the purchase of production technological equipment";
replace the first subparagraph of paragraph 3, the words "business assets" with the words "the taxpayer's assets";
replace the first paragraph 5., 7., and in paragraph 9 the word "enterprise" (fold) with the words "taxable person" (fold);
Add to the first part of paragraph 8, the words "as well as investment assets, biological assets, and sales held for long-term investment, which a taxable person has chosen to assess fair value";
Add to article 1.1, 1.2 and 1.3 with 1.4 part as follows: "(11) New production technology equipment which the taxable person acquired or created during the tax period, which started in 2006, and subsequent taxation periods and used in economic activities, taxation period depreciation shall be calculated, subject to the conditions of part 1.2.
(12) Before taxation period depreciation amounts for the calculation of the production of each new technological equipment acquisition value or the value of the setting in the tax period in which the machine was purchased or to create, increase, multiplied by the following factors: 1) fixed assets acquired or created during the tax period, starting in 2006, — 1.5;
2) fixed assets acquired or created during the tax period, which begins in 2007, — 1.4;
3) fixed assets acquired or created during the tax period, which begins in 2008, — 1.3;
4) fixed assets acquired or created during the tax period, which begins in 2009, — 1.2;
5) fixed assets acquired or created during the tax period, which begins in 2010,-1.1. (13) New production of technological equipment for the purposes of this article is not used (new) machines specific sequential technological operations, resulting in the piece (substance, material, product) characteristics are altered, thus creating the work item value, and significant that the labour machine accessories and extras that complement the work of technological operation of whole machine. The machines are working rigs (or a combination), which is an essential component of the all-wheel-drive izpildsistēm and management system. Technological equipment of trade within the meaning of this law is not the production of technological equipment.
(14) If this article listed asset 1.1 (which has been fixed asset depreciation write-off for tax purposes) will forfeit five taxation period since this asset acquisition or creation, taxable income is increased by the requirements of this article, the value of the calculated asset depreciation amount, for which the previous five periods of taxation was reduced taxable income, and reduced the company's annual report that the value of this asset depreciation amount. This provision shall not apply if the asset is lost in the case of natural disasters or otherwise forcibly and changes according to this law, laid down in article 10. ';
replace the third paragraph, the word "company" with the words "taxable person";
Add to article 3.1 part as follows: "(31) permanent representation, established in the Republic of Latvia, by moving the European company or European cooperative society registered from Latvia, the balance sheet and economic activity from that used in the European company or European cooperative society reproduces the original value of fixed assets the fixed assets depreciation calculation to determine the needs of the asset covered by the residual value for tax calculation purposes.";
to supplement the article with the tenth and the eleventh subparagraph by the following: "(10) If a taxable person has chosen an investment property, biological assets and held-for long-term investments, which have been classified as fixed assets, assess the fair value of the assets excluded categories.
(11) If the taxable investment property, biological assets and the sale of long-term investments held reclassified as fixed assets, included in the fixed asset value of the relevant categories according to their original value, without taking into account the revaluation of the assets referred to fair value. "
16. in article 14: replace the first, sixth and tenth subparagraph the word "enterprise" (fold) with the words "taxable person" (fold);
Add to article 1.2 of the part as follows: "(12) if the European company or European cooperative society is established permanent representation in the Republic of Latvia following the transfer of the registered office of the company from the Republic of Latvia and the Latvian public, in accordance with this law the tax period of the company's profit or loss adjustment results in previous taxation periods there have been losses, that the permanent representation of the losses incurred by the relevant European company or European cooperative society in the Republic of Latvia can contribute to a chronological order of permanent representation in the next taxation period taxable income. These losses may be covered in chronological order up to five periods of the tax from the tax period, when the damage to the European company or European cooperative society calculated in accordance with this Act. ";
make the second, third and fourth subparagraph by the following: "(2) If, during the tax period in control of commercial companies, cooperatives or acquire a person or group of persons that controlled the above this company or cooperative society, these commercial companies or cooperative society pirmstaksācij period losses aren't covered in the tax period and in subsequent periods of taxation, except as provided for in this article.

(3) the second paragraph of this article shall not apply in cases where the company or cooperative society, which occurred a change of control, five tax periods after the change of control keeps the previous operating types, which correspond to commercial companies or cooperatives operating type two taxation periods before the change of control.
(4) the application of the second paragraph of this article, in cases where the control over the company or cooperative society is obtained as a result of privatisation, it is considered that the control is not obtained until then, during the tax period in which the company or cooperative society has not complied with any of the rules, on the basis of which its privatisation has been carried out. ';
make the eleventh subparagraph by the following: "(11) if the Corporation is reorganized, adding it to the other corporation, and first and second Corporation before the reorganization, and the second after the reorganization of a corporation controlled by the same person or group of people, the other a corporation after the reorganization are entitled to take over the pirmstaksācij period of the first capital losses and to cover them during the tax period and subsequent taxation periods in the first subparagraph.";
to make the twelfth and thirteenth part as follows: "(12) If a reorganisation of the way the Corporation is split or separated and divided the Corporation at the time of the reorganisation is the loss which it is entitled to cover in accordance with this article, the right to bear these losses of the Corporation of the company being divided in the event of separation, subject to the thirteenth part, takes on the newly created Corporation, but in the case of the separation of the Corporation after the reorganization, and the newly-separated Corporation.
(13) the distributable capital losses between the Corporation and the Corporation of the newly separated in case of separation and division between the jaundibinātaj corporations after the reorganization is proportional to the ratio of distributable — separated (distributable) part of the value of the assets of the Corporation after the reorganization of the assets of a capital company to distributable value before the reorganisation. ";
make part of the 15th as follows: "(15) to pay damages, the Corporation that made the reorganization of a corporation, the Division or separation of accession, is not applicable in the sixth and tenth."
17. Replace article 14.1, the eleventh paragraph, the words "the State revenue service" with the words "Cabinet".
18. in article 15: replace the second paragraph, the words "company — taxable persons — the" with the words "taxable person";
to supplement the article with the fourth paragraph as follows: "(4) a taxable person who is eligible to apply some of this law or other statutory corporate income tax rebate and has begun to apply it, it is applicable to all taxation period consecutive to the tax period, when the taxpayer loses the right to apply a discount."
19. off 17.1 article.
20. Article 18: replace the word "enterprise" (fold) with the words "taxable person" (fold);
off in the third paragraph, the words and the number "used in article 17 of this law for the tax credit or".
21. off article 19.
22. Article 20: Supplement to article 2.1 part as follows: "(21) the public service provider, which is governed by the law on regulators of public services", is entitled to apply the first subparagraph from tariff revenue amounts of donations made to the Latvian cultural fund, the Latvian Olympic Committee and Latvian children's Fund, if the recipient of the donation at the time of donation is the organisation of the public good. ";
replace the sixth paragraph, the words "company" with the words "taxable person".
23. Make the text of article 21, the following: "Corporation, Association of disabled medical, as well as other charitable fund corporation after the Cabinet and submitted to the Saeima approved list are exempt from payment of tax when they transfer these funds (program, organization) amounts that are greater than the calculated amount of this tax."
24. in article 22: to supplement the first subparagraph following the words ' which form "with the words" order "and fill and replace the word" four "with the word" three ";
replace the fourth subparagraph, the word "company" (the fold) with the words "taxable person" (fold);
adding to eighth following the words "agricultural service cooperative society" with the words "the owner of the housing cooperative society, car garage owners cooperative society boat garage owners cooperative societies and horticultural cooperative society".
25. Article 23: replace the introductory part of the first subparagraph, the word "Company" with the words "taxable persons";
replace the first subparagraph of paragraph 1 and 2 of the numbers and the words "17., 18.1, 19 and 20 of the discounts provided for in article" with a number and the words "laid down in article 20.-discount";
Replace in the second, sixth, seventh, eighth, ninth and tenth subparagraph the word "enterprise" (fold) with the words "taxable person" (fold);
turn off the fourth.
26. To complement the article 25 of the third part as follows: "(3) the transfer of the registered office in the case of the European company and the European cooperative society tax start paying by the day when it is registered in Latvia, and shall terminate on the day when it completed the transfer of the registered office, the register of this fact in the new, its legal address in the corresponding register in another Member State of the European Union."
27. Replace article 26, first paragraph, the words "and the insurance company and under the supervision of the law" with the words "credit unions Act, insurance companies Act, and under the supervision of the investment management company law and the law on the financial instruments market."
28. To supplement the law with 26.1 article 26.1: "this article. Avoidance of taxes (1) this law, article 6 of the fourteenth and the fifteenth part of article 13 and article 14 of part 3.1-1.2 part shall not apply if it is established that the transfer of the registered office of the main purpose or one of the main goals is not to pay taxes or to avoid paying taxes.
(2) if the transfer of the registered office shall not carry out reasonable commercial grounds, this can lead to the assumption that the activities in the main purpose or one of the main goals is not to pay taxes or to avoid paying taxes. "
29. Article 27 of the expression as follows: "article 27. Separate rules for the application of certain provisions for the application of this law, the Cabinet of Ministers shall determine: 1) terms used in this law, the application of the corporate income tax calculations;
2) taxable income determination, taking into account the different conditions and restrictions referred to in this law and other conditions that affect the specific situation of taxable income;
3) conditions of the non-resident withholding tax amounts paid to;
4) special conditions for the taxable income for the adjustment of the domestic enterprises, the permanent representations of non-residents, if they do business with people who are, have been, or established free and low taxation countries or territories;
5) payment that Latvian domestic company or permanent establishment of a non-resident person who paid is located is created or established free and low taxation countries or territories, the exemption from withholding tax;
6) transaction for the determination of the fair value method to be used and procedures to be used when transactions occurred between related companies;
7) advance payment of tax identification methodology;
8) of this rule for the application of the practical situation and the need to calculate the formulas. "
30. The transitional provisions: replace the words "paragraph 39" with the words "taxable person";
transitional provisions be supplemented with 54.1 points as follows: "If the cooperative society 54.1 recorded in the register of companies, the amendment of the articles of Association of the non-profit organization status, these cooperatives tax period (corporate income tax calculation) begins with the day the register of enterprises registered in the articles of Association of the non-profit status of the organization."
transitional provisions be supplemented with 58.1 points as follows:

"paying out cooperative society 58.1 companion — non-residents — or a member or shareholder of the Corporation — for non-residents — from the non-profit cooperative society's accumulated reserve Fund (the excess of revenues over expenses) created the special reserve amount that it included nonprofit cooperatives, re-register as a cooperative society or reorganizing for the Corporation, and which are not considered cooperative society or a corporation's operating expenses, the amount in question be subject to corporate income tax at a 15 percent rate. Income paying corporate income tax costs and payments to be withheld at the time the budget article 24 of this law. ";
turn off paragraph 61, the words "if such nonprofit organization has drawn up a balance sheet and a profit and loss statement to date of renewal" and add to the third sentence of the paragraph with the following: "that a nonprofit organization shall draw up the balance sheet and income statement as of the renewal date.";
transitional provisions be supplemented with 61.1 points as follows: "the 61.1 non-profit cooperative society until they are registered in the business register the amendments to the Statute of non-profit organization status, or the date of termination is not a corporate tax bill. Non-profit cooperative taxation period, in which it made to the statutes amendments on nonprofit organization status, for the period from the beginning of the tax period and the date of the company registered in the register of amendments to the Statute of non-profit organization status, corporate income tax does not pay. These non-profit organizations draw up a balance sheet and a profit and loss statement as of the day when the Company registered in the register of amendments to the Statute of non-profit organization status. ";
transitional provisions be supplemented with 67, 68, 69, 70, 71 and 72 point as follows: "67. If the nonprofit cooperatives as a commercial recording Corporation or company is registered in the register of amendments to the Statute of non-profit organization status, then from the non-profit cooperative society for the duration of the accumulated reserve fund represents the special reserve. Non-profit cooperative society for the duration of the accumulated reserve Fund (the excess of revenues over expenses) that is transferred to the special reserve, a corporation or cooperative society is prohibited during operation cost the Corporation's members (shareholders) or cooperative society members. Cooperative society members or members of the Corporation liquidation or reorganization of the company in the case of amounts paid from a special reserve which it is counted as a non-profit cooperative society accumulated reserve Fund (the excess of revenues over expenses), subject to income tax in the tax laws.
68. for the purposes of this law, article 2, second paragraph, of the corporate income tax payers until their removal from the register of companies under the commercial law of the entry into force of the law is not on the agenda: 1) State enterprises whose income from operating activities for the State budget;
2) non-profit organizations.
69. A taxable person, of which up to 31 December 2005 has been adopted by the Cabinet of Ministers decision on investment projects support this law, in accordance with the procedure laid down in article 17.1 (the version which was in force up to 31 December 2005), has the right to initiate investment projects, applying the discount provided for in article 17.1, a moment when the European Commission decision on investment aid for the project, even if the European Commission decision adopted after 31 December 2005.
70. Article 19 of the law on a specific tax discount is valid until 31 December 2005. This tax credit the taxpayer is entitled to apply for the entire tax period, beginning in 2005.
71. the amended article 2 of the law on the third part of the amendment concerning article 6, 5.1 and 5.2 of part off, article 5.3 of part, amended article 13, first paragraph, point 8 of article 13 and part of the tenth, eleventh amendment 22 article in the eighth and the transitional provisions in paragraph 61, as well as the transitional provisions of 54.1, 58.1, 61.1 and 68 applies to taxation periods beginning in 2005.
72. the Cabinet of Ministers of the date of entry into force of the provisions, but not longer than until 1 July 2006, in accordance with article 27 of this law, the Cabinet of Ministers issued on 19 September 2000, the terms "Law No 319" on corporate income tax "application rules", in so far as they do not conflict with this Act. "
31. To complement the informative reference to European Union directive to point 7 by the following: ' 7) Council of 17 February 2005 Directive 2005/19/EC amending Directive 90/434/EEC on the common system of taxation applicable in the different Member States for mergers, divisions, transfers of assets and exchanges of shares. "
The law shall enter into force on 1 January 2006.
The law adopted by the Parliament in the 2005 October 20.
The President of the Parliament instead of the President i. Otter Riga 2005 November 9 Editorial Note: the law shall enter into force on January 1, 2006.