Contacts
Tax Incentives
Port of Ventspils is one of EU’s special economic zones (SEZs) that stimulates all kinds of investments in production. As a SEZ, it is one of the Baltic Sea ports with especially favourable conditions for foreign investors. The accessibility of the infrastructure and qualified labour force of the port and production parks has been appreciated by partners in the fields of engineering, chemical industry, wood processing, electronics, IT and others, who have favoured production in the Ventspils industrial zone.
Tax Incentives in Ventspils Free Port
In the special economic zone the Corporate Income Tax and Real Estate Tax are reduced by 80% until the company compensates up to 35% (55% for small companies and 45% for medium-size companies) of the investments. It means that during the compensation time the Corporate Income Tax rate is 4% and the Real Estate Tax rate is 0.3%. If, in turn, dividends are distributed to a company in SEZ, the profit tax is 4% instead of the usual 20%. Reliefs are also available on indirect taxes: Value Added Tax, Excise and Customs Duties.
Criteria and Application Procedure for Acquiring a Special Economic Zone Licensed Company Status
Ventspils Free Port offers your companies to receive a licence to operate as a special economic zone, which entitles the companies to the tax reductions provided in the law of the Republic of Latvia on Application of Taxes in Free Ports and Special Economic Zones.
An application for obtaining the licence for operation under free economic zone status must be submitted to the Free Port of Ventspils Authority. The procedure set for issuing the licence is in force until at least 2035.
Documents Necessary from the Applicant
In order to acquire a Freeport of Ventspils licensed company status, the company must receive at least 50 points in this evaluation.
If you need any help while preparing the documents, please contact us! [email protected]
Businesses currently in Freeport of Ventspils
Chairman of the Board of Ventspils High Technology Park Ivars Eglājs:
– Ventspils is the only Latvian city in which the number of ICT companies has increased more than 5 times during the last 7 years. The developed strategy and action plan prescribes a further development and provision of ICT concentration in the city. According to the strategy we plan to make Ventspils more visible in the European ICT map by finding the niche appropriate for Ventspils and the whole region as well as by providing high-quality education for professionals, and excellen infrastructure and the best conditions for ICT companies.
Member of the Board of Froli Baltic Margret Fromme.
– Margret Fromme on the city of Ventspils: “We know the city of Ventspils now since over 18 years. For us and the team of Froli the city is like a pearl by the sea. The people are open-minded, tolerant, interested and friendly. It always impresses us how the city is investing in new social, cultural and economic sites and organizations. Every time we come here, we feel the positive energy and it’s like we’re visiting friends.”
And on the Froli Baltic team: “What is commendable is not only the level of education of the local workers, but also the fact that every one of them is ready to receive educational training, to learn, to acquire new skills and, most importantly – let themselves be taught. Some of the skills have to be learnt on the spot - production and processes change, therefore the workers need new skills and competences. The training in collaboration with the German colleagues is taking place both here and in Germany. We are very proud of the team and pleased with how honestly and thoroughly they are doing their jobs.”