Flash News is the latest information on proposed and effective changes in tax and business legislation. We aim to save you time by monitoring the latest developments and bringing key points to your attention.

• Labour Code amendments (1/10/10)
  09 March 2010

  Passed
  After a nearly year-long debate the Latvian parliament passed amendments to the Labour Code in their third reading on 4 March 2010. The effective date is yet to be announced. These amendments were originally intended to make the law more flexible and to address issues of unregistered employment, but a number of new proposals were added as the bill progressed through parliamentary committees and plenary sessions. This article explores what we perceive as key changes. Read more »
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• Introducing a packaging deposit scheme (2/10/10)
  09 March 2010

  Draft
  In our Flash News edition of 3 February 2009 we informed our subscribers of proposed amendments to the Packaging Act and to the Natural Resource Tax Act regarding the introduction of a deposit scheme for reusable and single-use packaging in Latvia. The proposed deadlines were postponed at that time and a draft regulation for applying a deposit scheme to reusable packaging was announced at a meeting of state secretaries. This article explores current plans for introducing a packaging deposit scheme in Latvia. Read more »
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• How to boost a subsidiary’s equity without injecting cash (3/10/10)
  09 March 2010

  Issue
  Many companies are struggling to ensure their shareholders’ equity is a positive figure. The parent company may not have any spare cash, so it should consider some other options for improving a subsidiary’s equity. This article explores several ways of making a non-cash investment. Read more »
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• New rules apply to VAT returns for March and first quarter (1/9/10)
  02 March 2010

  Passed
  We have informed our subscribers of the amendments to the new rules governing VAT returns which the Cabinet of Ministers passed at their meeting of 16 February. Read more »
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• Asset replacement: corporate income tax relief (2/9/10)
  02 March 2010

  Issue
  We have informed our subscribers of the latest amendments to the Corporate Income Tax Act, including deferred taxation when fixed assets are replaced. This article explores how this relief can be claimed, using an example. Read more »
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