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Ceturtdiena 09.04.2020 | Name days: Valērija, Žubīte
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Saeima committee: communication with VID is planned to be electronic only

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VID, Saeima, taxes, EDS, changes, electronic declarationOn Tuesday, 17 December, Saeima’s Budget and Finance Committee conceptually supported amendments to the Law on Taxes and Duties that provide for all applications to be submitted to the State Revenue Service (VID) regarding tax administration from 2021 onward from residents using only the electronic declaration system (EDS), as reported by Saeima’s press-service.

It is planned for every application submitted as a request, complaint, question or proposal, as well as income declaration, to VID will have to be submitted electronically.

For a person who is not an EDS user to learn to use the system and for VID to organize training seminars and inform residents about the system’s functionality and how it can be used to submit income declarations electronically,

changes are planned to be adopted on 1 January 2021.

For people to be able to use EDS, it will be necessary to register as a user of the electronic declaration system. This can be done online by authenticating using internet bank account, electronic ID card or secure electronic signature. It will also be possible to become an EDS user by submitting a written request to VID and confirming your identity.

Law amendments were proposed to speed up information exchange and reduce administrative burden for taxpayers and tax administration. Currently VID provides tax payers with more than 220 different kinds of services for tax and duties administration. VID data shows that last year a total of 95 000 paper applications were received from private and legal persons. The number of paper applications received in the first seven months of 2019 is above 50 000, according to information from the annotation to amendments.

VID statistics also show that approximately 18% of income declarations are received in paper form. Processing of these applications cost VID more than EUR 2 million in 2017.

Discussing intended changes, members of the committee asked several questions, including questions as to whether the switch to electronic system is worth it. It is stressed that anyone who needs to check information, submit a complaint or appeal a decision should be provided with the option to do it.

VID Director General Ieva Januzeme and Finance Ministry’s representatives told deputies that it is planned to resolve multiple issues by providing proposals for the legislative draft’s second reading.


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