Thousands of foreigners in lithuania fail to meet tax obligations in 2023

Vilnius (The Uttam Hindu): The number of self-employed foreign nationals avoiding taxes has been rising in Lithuania in recent years, with taxi drivers and couriers accounting for a significant portion of those failing to meet their tax obligations, according to the State Tax Inspectorate (VMI). In 2023 15,800 foreigners in Lithuania registered as self-employed but 2,200 did not fulfill their income tax obligations and 3,300 failed to file value-added tax (VAT) returns despite being required to do so.

While data for 2024 is still unavailable trends from previous years show an increasing number of foreigners particularly in fields such as couriers taxi driving construction and beauty services avoiding taxes. In response companies like Wolt and Bolt which operate platforms for couriers and taxi services have taken steps to ensure better tax compliance. Wolt provides the State Tax Inspectorate with monthly income data for all couriers and traders using its platform while Bolt regularly reminds its drivers of tax filing deadlines. However Linas Mazgeika from the Courier Association of Lithuania suggests that these platforms should take more responsibility for educating their partners about tax obligations and ensuring compliance.