Incorporation Hub

Incorporation in Lithuania

Digital, EU-passportable incorporation through the Centre of Registers under the Law on Companies. 0% corporate tax for new small companies' first two years and electronic setup in 3–5 business days.

Minimum capital

€1,000 ≈ $1,160 (UAB)

Timeline

Usually 3–5 business days (electronic)

Corporate tax

17% (0% new small companies' first 2 years; 7% small companies)

Annual audit

Only above statutory size thresholds

Lithuania offers a digital, EU-passportable incorporation regime under the Civil Code and the Law on Companies (Akcinių bendrovių įstatymas), administered through the Register of Legal Entities, maintained by the State Enterprise Centre of Registers (Registrų centras). It appeals to fintech and technology founders for fast electronic registration, EU market access, and a 0% start-up corporate tax rate in the first two years.

Most founders use the uždaroji akcinė bendrovė ("UAB", private limited liability company) under the Law on Companies, which allows up to 249 shareholders and limited liability. The main alternative for larger or listed businesses is the akcinė bendrovė ("AB", public limited company); a foreign company may instead register a branch (filialas).

A UAB requires minimum share capital of €1,000 (≈ $1,160) — reduced from €2,500 in 2023 — of which at least 25%, €250 (≈ $290), must be paid before registration and the balance within 12 months. There is no residency or nationality requirement for the single director or the shareholders, but a registered office in Lithuania is needed. Registration is filed with the Centre of Registers, electronically with a qualified e-signature or via a notary, and is usually completed within three to five business days. Beneficial owners must be filed to the JANGIS register within 10 days of incorporation.

The State Tax Inspectorate (Valstybinė mokesčių inspekcija, "VMI") charges corporate income tax at 17% from 1 January 2026, with reduced rates of 0% for a new small company's first two years and 7% for small companies (under €300,000 (≈ $348,000) revenue, fewer than 10 employees), and VAT is 21% once turnover exceeds €45,000 (≈ $52,200). Every company files annual financial statements with the Centre of Registers regardless of activity, with a statutory audit once size thresholds are crossed. Beneficial-owner data in JANGIS must be kept current under the Law on the Prevention of Money Laundering and Terrorist Financing.

Sources used: the Civil Code and Law on Companies (Akcinių bendrovių įstatymas); Centre of Registers (Registrų centras) registration guidance; the Law on the Prevention of Money Laundering and Terrorist Financing (JANGIS); and State Tax Inspectorate (VMI) corporate-tax and VAT guidance.

Practical requirements

  • Entities entered in the Register of Legal Entities (Centre of Registers).
  • Covers the UAB, AB, small partnership (MB), and branches of foreign companies.
  • Formation is separate from any financial-sector licence.

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