Vehicle Operating Tax

Taxable object

All vehicles, except tractor-type machinery, trailers and semi-trailers with full weight not exceeding 3500 kilos, trams, trolleybuses, off-road vehicles, snow motorcycles, mopeds and bicycles.

Taxable persons

• The vehicle operating tax on motorcycles, tricycles and quadricycles first registered after January 1, 2005 that have registration certificates containing information on the volume of the engine shall be paid according to the volume of engine in cubic centimetres (cm³) as follows:

• The vehicle operating tax on motorcycles, tricycles and quadricycles first registered before January 1, 2005 is 36 euro.
• The vehicle operating tax on cars or good vehicles with total weight up to 3500 kg first registered after January 1, 2005 that have registration certificates with information on total weight, engine volume and engine maximum power, shall be paid by summing up tax rates according to total weight, engine volume and engine maximum power of the car as follows:

• The vehicle operating tax on cars or good vehicles with total weight up to 3500 kg first registered before January 1, 2005 shall be paid according to the total weight of the car or good vehicle as follows:

• The vehicle operation tax for such car, which is equipped with an internal combustion engine or by construction is equipped with an internal combustion engine and uses energy from the equipment for the storage of electricity or driving force for its mechanical driving force (for example, an accumulator, condenser, flywheel or generator, etc.) and was registered for the first time after 31 December 2008 or good vehicle with total weight up to 3500 kg and was registered for the first time after 31 December 2011, shall be payable by applying the rate depending on the amount of carbon dioxide (CO2) emissions caused by the vehicle in grams (g) per one kilometre (km):

• The vehicle operation tax for such car or good vehicle with total weight up to 3500 kg, which is equipped with an internal combustion engine or by construction is equipped with an internal combustion engine and uses energy from the equipment for the storage of electricity or driving force for its mechanical driving force (for example, an accumulator, condenser, flywheel or generator, etc.) and was registered for the first time after 31 December 2020, shall be payable by applying the rate depending on the amount of carbon dioxide (CO2) emissions caused by the vehicle in grams (g) per one kilometre (km):

• In addition to the rate of the vehicle operation tax the rate in the amount of EUR 300 is determined for those cars or good vehicles with total weight up to 3500 kg the engine capacity of which exceeds 3500 cm3.
• The vehicle operating tax on busses shall be paid according to the total weight of the bus or total weight of the bus and European emissions standards as follows:

• The vehicle operating tax on trucks with the total weight (3500 kg - 12 000 kg) shall be paid according to the European emissions standards  (EUR) as follows:

• The vehicle operation tax for use in the road traffic of a vehicle of Category M1 and N1 registered in a foreign country shall be paid in the amount to be calculated in accordance with the following formula:
  vehicle operation tax = vehicle operation tax for the year x 1/12 x expected number of months in which vehicle of Category M1 and N1 registered in a foreign country will be used in road traffic in Latvia

Vehicle operating tax exemptions

Vehicle operating tax shall not be paid:

• for one passenger car, motorcycle, tricycle or quadricycles which is registered or is going to be regirested on name of a disabled person;
• for vehicle of representatives of diplomatic, consular or international organisations;
• for emergency vehicle;
• for vehicle which is written-off and other cases.

Vehicle operating tax relief

• The vehicle operating tax shall be paid in amount of 50% on vehicles which are owned, possessed or hold by the institution subordinated to the Ministry of Interior, institution subordinated to the Ministry of Defence or National Armed Forces, institutions of municipal police.
• Producers of agriculture production, cooperative societies providing agriculture services, as well as recognised aquaculture farms shall pay the vehicle operating tax in the amount of 25% per each truck if they comply with all statutory requirements.
• A large family shall pay the vehicle operating tax in amount of 50% per one registered car they own, possess or hold for respective calendar year.

Payment of vehicle operating tax

Vehicle operating tax shall be paid for the current calendar year and for previous years if vehicle operating tax has not been paid in those years.

Reimbursement of vehicle operating tax

The State Revenue Service shall reimburse tax after the receipt of the request of the taxpayer in the situations proscribed by the law.