Lithuanian Tax Authority Launches 2026 Annual PIT Calculator

On September 29, 2026, the State Tax Inspectorate (VMI) launched a new digital tool: the annual Personal Income Tax (PIT) calculator designed for modeling income for the 2026 tax year. This tool allows taxpayers and accounting professionals to input various income streams and evaluate the progressive tax mechanism and effective tax liabilities.

The calculator covers major categories of taxable income in Lithuania, including employment income, individual commercial activity, property sales, rental earnings, dividends, and other taxable receipts. Based on cumulative earnings, the system automatically determines the annual non-taxable income allowance (MNPD) and provides a visual breakdown showing the distribution of tax liabilities across progressive tax brackets.

Preparing input data requires specific attention. The Lithuanian Association of Accountants and Auditors (LBAA) notes that the calculator does not feature an automated wizard to determine income deductions or apply specific statutory exemptions. Users must manually subtract allowable expenses (such as individual activity costs) and statutory thresholds—such as the EUR 500 exemption on securities transfers or the EUR 2,500 threshold for gifts—prior to entering amounts into the system.

The calculator allows payroll specialists and individuals to verify whether monthly tax-exempt amounts applied by employers could result in an underpayment on annual tax returns, and to identify cumulative thresholds where higher progressive tax rates take effect for 2026.