Insights of experts

With the deadline for filing annual income tax returns approaching, GTB experts remind of the applicable social security contributions and PIT after reaching the income threshold of 60 national monthly average salaries

28th of August 2024 Government of the Republic of Lithuania ruling No. 709 "Regarding the Minimum Wage Applicable in 2025” comes into force as of 1st of January 2025 where minimal salary is raised by 114 EUR – from 924 EUR to 1038 EUR and the hourly wage – from 5,65 EUR to 6,35 EUR.

28th of June 2023 Government of the Republic of Lithuania ruling No. 516 "Regarding the Minimum Wage Applicable in 2024” comes into force as of 1st of January 2024 where minimal salary rises by 84 EUR – from 840 EUR to 924 EUR and the hourly wage – from 5,14 EUR to 5,65 EUR.

On 20 of March 2023 Ministry of Finance of Lithuania revealed proposals on tax reform, to be submitted to Parliament early May, to enter into force from the year 2024 (if adopted). Below we summarize key aspects of the tax reform, relevant for the businesses.

Tax laws changes affecting payroll as of January 1, 2023 in Lithuania

The most relevant changes to the Labor Code of the Republic of Lithuania are for the attention of company managers, managing accounting persons and human resources managers. Some of them have already entered into force since 2022 July 1. We invite you to check what is relevant for both the employer and the employee and for general payroll accounting.