VAT Tax Period Determination: Automated VMI Rules Take Effect 25 November 2026

By Order No. VA-75 of 27 October 2026, the State Tax Inspectorate under the Ministry of Finance of the Republic of Lithuania approved a new wording of the Description of the Procedure for Applying the VAT Tax Period (TAR No. 2026-16918). These changes take effect on 25 November 2026, automating request processing and tax period adjustments within VMI information systems, thereby eliminating manual staff review.

Under the revised rules, notifications regarding the selection of an alternative VAT period (calendar quarter or half-year) must be submitted electronically via the VMI Self-Service portal prior to the start of the intended period. The law specifies that the start and end dates of the chosen period must align with the start and end dates of the corresponding calendar year.

A key change is the automated transition to a calendar-month VAT period upon exceeding the statutory revenue threshold. For taxpayers currently on a quarterly VAT period whose economic activity revenue exceeded EUR 300,000 in the previous calendar year, the monthly period will apply automatically from the start of the next calendar year, without requiring a separate notification.

For newly established entities using a quarterly period that exceed the EUR 300,000 threshold during the current year, the calendar-month period takes effect automatically from the beginning of the next quarter. Furthermore, taxpayers acquiring goods from other EU Member States who must calculate VAT under Article 95(2) of the Law on VAT will be shifted to a monthly tax period starting from the beginning of the quarter, half-year, or calendar year in which the acquisition occurred.