Annual Report for SIA in Latvia: Deadlines, Requirements and How to File in 2026
Every Latvian SIA must file an annual report. For micro and small companies the deadline is May 31. Here is what you need to know.
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What the annual report is and who must file it
Every SIA (sabiedrība ar ierobežotu atbildību — the Latvian equivalent of a limited liability company) registered in Latvia is required by law to prepare and submit an annual report. The report is submitted electronically to the State Revenue Service (VID) through its Electronic Declaration System (EDS), and VID forwards it to the Enterprise Register (Uzņēmumu reģistrs). This obligation applies regardless of whether the company was active during the year. A company with zero transactions still needs to file; the document in that case is a minimal balance sheet confirming that nothing happened.
Micro and small companies must submit the annual report no later than five months after the end of the financial year. For the most common case — a calendar financial year from January 1 to December 31 — the deadline is May 31. This applies from the report for 2022 onward. Medium and large companies have up to seven months (July 31 for a calendar year). The report is filed no later than one month after the shareholders approve it.
The annual report is a public document. Once filed, it becomes available through the Enterprise Register. This is worth knowing if you deal with trade partners or investors who routinely check the financial health of suppliers and counterparties.
What the annual report contains
The content depends on the size category of the company, but even the simplest micro-company report must include two core financial statements:
- Balance sheet (bilance): a snapshot of the company's assets, liabilities, and equity as of the last day of the financial year
- Profit and loss statement (peļņas vai zaudējumu aprēķins): a summary of revenue, costs, and the resulting profit or loss for the year
- Notes to the accounts (pielikums): explanatory information required by the Annual Accounts Law; even micro companies must include certain minimum disclosures
- Management report (vadības ziņojums): required for companies that qualify as small, medium, or large — covering business developments, risks, and future outlook
- Auditor's report: required if the company exceeds two of the three statutory thresholds for mandatory audit (see size categories below)
Annual report size categories in Latvia
The Annual Accounts Law divides companies into four categories based on total assets, annual turnover, and average number of employees. Most newly founded foreign-owned SIA companies qualify as micro or small:
| Category | Total assets | Annual turnover | Employees | Notes |
|---|---|---|---|---|
| Micro | ≤ €350,000 | ≤ €700,000 | ≤ 10 | Simplified notes; no management report required |
| Small | ≤ €4 million | ≤ €8 million | ≤ 50 | Standard notes; management report required |
| Medium | ≤ €20 million | ≤ €40 million | ≤ 250 | Full notes; audit required |
| Large | > €20 million | > €40 million | > 250 | Full notes; audit required |
A company qualifies for a smaller category if it does not exceed the limits in at least two of the three criteria. So a company with assets of €300,000 (micro limit) but turnover of €900,000 (above micro, below small) would qualify as small, not micro.
Mandatory audit is required when a company exceeds two of the three medium-category thresholds for two consecutive years. Most small SIA companies are not subject to statutory audit.
Key deadlines and penalties for late filing
Missing the annual report deadline is one of the most common and most avoidable compliance failures for SIA companies in Latvia:
- Deadline for a micro or small company with a calendar financial year: May 31; medium and large companies: July 31
- Late or missing filing can lead to an administrative fine imposed by VID
- Public data shows the report as missing — counterparties and banks check this, so it can affect creditworthiness and banking relationships
- Long-term failure to file creates a risk that the company will be excluded from the register
If your financial year does not end on December 31, count from its last day: five months for micro and small companies, seven months for medium and large ones.
Step-by-step: how to prepare and file the annual report
The preparation process begins long before May and should ideally be running throughout the year. Here is the full sequence:
- Reconcile all bank accounts as of December 31: every transaction must be recorded, every statement balanced to zero difference
- Confirm all accounts receivable and payable are correctly recorded: unpaid invoices, accrued expenses, and advance payments all need to appear on the balance sheet
- Calculate depreciation for all fixed assets: Latvian accounting standards require specific depreciation methods; these calculations must be done before closing the year
- Value inventory if the company holds stock: cost or net realisable value, whichever is lower, per Latvian GAAP
- Accountant prepares the financial statements, notes and, where required, the management report
- Director reviews and signs the annual report using an e-signature (eParaksts or a recognised EU equivalent)
- Submit electronically to VID via the EDS; VID forwards the report to the Enterprise Register
How the annual report is submitted
The annual report is submitted electronically through VID's Electronic Declaration System (EDS). The financial statements are entered in a structured, machine-readable form, so VID and the Enterprise Register can process the data automatically.
The practical implication for SIA owners is that the report has to be prepared in a specific structure and submitted by an authorised person in the EDS. Errors in the figures or a balance sheet that does not reconcile have to be fixed before submission — or corrected afterwards with an amended report.
TAXLAB prepares the annual report, checks it before submission and files it in the EDS on your behalf.
Common errors that delay annual report submission
The most frequent cause of missed deadlines is not a malicious intent — it is disorganised bookkeeping that surfaces in spring when closing the year. The most common specific issues:
Missing December invoices. Suppliers submit invoices in January for December services. If the company does not have a process for capturing these, the December accounts are incomplete and the balance sheet is wrong.
Unrecorded depreciation. Some companies book depreciation only at year-end rather than monthly. If the depreciation schedule has not been maintained, the calculation must be done from scratch in spring — often under time pressure.
Undeclared director loans. If a director has advanced money to or from the company during the year without proper documentation, these amounts appear as unexplained entries on the balance sheet. VID pays close attention to director loan balances.
Share capital discrepancies. If the registered share capital has not been fully paid in, the balance sheet will not reconcile. This needs to be resolved before filing, not after.
What happens if you miss the deadline
Filing late is always better than not filing at all. VID can issue a fine for late submission, but the fine is a one-time event. Failing to file at all is a far more serious problem and can put the company's registration at risk.
If you realise in May or June that your annual report has not been filed, the correct action is to file immediately and accept the late-filing fine. Do not wait for VID to contact you — proactive late filing typically results in lower penalties than waiting for an enforcement action.
If you have a legitimate reason for the delay (for example, the company was acquired mid-year and records were incomplete at handover), document the reason in writing. VID considers mitigating circumstances when assessing fines, though this does not eliminate them.
How TAXLAB prepares your annual report
Because TAXLAB maintains your bookkeeping throughout the year on a monthly basis, the annual report preparation in spring is a structured process rather than a scramble. The accounts are reconciled each month, so the year-end closing takes one to two weeks rather than the six to eight weeks that poorly maintained books can require.
The annual report — preparation and submission in the EDS — is included in the Business and Pro plans. On the Start plan it costs €300 per year. For clients who need a one-off annual report without ongoing monthly accounting, the price starts from €300 for a micro SIA and is quoted individually for larger companies based on transaction volume.
Frequently asked questions about the SIA annual report in Latvia
Can I file the SIA annual report myself?
Yes. The report is submitted in VID's Electronic Declaration System (EDS) by an authorised person. In practice, the report has to follow the Annual Accounts Law structure and the balance sheet must reconcile, so most directors find it more efficient to use their accountant.
What if my SIA had zero activity during the year?
You still must file an annual report. A zero-activity report with a nil balance sheet is required by law. The same deadline applies (May 31 for micro and small companies with a calendar year), and the same penalties apply for missing it. There is no exemption for dormant companies.
Does the director need to sign the annual report?
Yes. The director signs the annual report with an e-signature (eParaksts or a recognised EU equivalent). Remote signing is accepted, so a foreign director does not need to travel to Latvia to comply with this requirement.
How much does annual report preparation cost at TAXLAB?
Annual report preparation is included in the Business and Pro plans; on the Start plan it costs €300 per year. For clients who only need a one-off report without ongoing monthly service, the price starts from €300 for a micro or small SIA, depending on the volume of transactions during the year.
Can TAXLAB correct a previously submitted annual report?
Yes. A corrected annual report can be submitted through the EDS. TAXLAB will review the original submission, identify the errors, prepare a corrected version and submit it on your behalf.
Is the annual report a public document?
Yes. Latvian SIA annual reports are public and can be obtained through the Enterprise Register. This is standard across the EU under the Accounting Directive.
Deadlines and amounts can change. Check vid.gov.lv and ur.gov.lv before deciding, or ask us.
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