Making Dispute Resolution Mechanisms More Effective – Consolidated Information on Mutual Agreement Procedures 2023

Latvia

Recent developments relating to MAP in Latvia prior to 15 August 2023

Developments relating to MAP in the tax treaty network

• Two new treaties entered into force since last report – Kosovo and Saudi Arabia.

Other developments relating to MAP

• Treaty with Pakistan was signed on 28 April 2023.

Latest Action 14 Peer Review report

26 July 2021 - https://doi.org/10.1787/5fb7733b-en

Tax treaty network of Latvia

• 63 treaties, applicable to 64 jurisdictions (covering all treaties signed, although not necessarily in force)

• status of MLI: in force.

Table 1. State of play of Latvia's tax treaty network

Treaties in line with the Action 14 Minimum Standard following MLI impact	Treaties where actions are ongoing to make them in line with the Action 14 Minimum Standard	Following impact/actions, remaining treaties that are not in line with Action 14 Minimum Standard
60	2	1

Source: OECD

Latvia's MAP programme

Organisation of competent authority function

• 14 persons:

  • four heads of unit

  • ten persons working on MAP cases (all of which work on other tasks as well):

    • of which eight persons work on attribution/allocation cases and six persons work on other cases.

• contact persons for MAP requests:

  • State Revenue Service of the Republic of Latvia Via mail to address: Talejas street 1, Riga, Latvia, LV-1978; Or via Electronic Declaration System: using the website https://eds.vid.gov.lv Or via Email: [e-mail] signing the documents with a secure electronic signature that conforms to the EU Regulation No 910/2014 of 23 July 2014.

Figure 11. Competent Authority Organisational Structure

Source: OECD

Table 2. Guidance on the MAP process

MAP guidance	Chapter XV of the law “On Taxes and Duties”, 22 October 2019	https://www.vestnesis.lv/op/2019/214.2 (Article 120 to be referred to for form and content of a MAP request, including information requirements)
	Methodological material 25 March 2021	https://www.vid.gov.lv/lv/media/1432/download?attachment
	Methodological material 22 April 2021	https://www.vid.gov.lv/lv/media/1431/download?attachment
MAP profile	16 November 2020	https://www.oecd.org/tax/dispute/latvia-dispute-resolution-profile.pdf

Overview of Latvia's MAP Statistics for 2022

Please refer to https://www.oecd.org/tax/dispute/map-statistics-latvia.pdf for details with respect to Latvia's MAP Statistics.

Figure 2. Cases closed in 2022

Source: OECD

Figure 3. Evolution of Latvia's MAP caseload (2016-22)

Source: OECD

Table 3. Overview of Latvia’s MAP caseload for 2022

Inventory for year 2022	Opening Inventory 1/1/2022	Cases started	Cases Closed	End Inventory 31/12/2022
Attribution/allocation cases	7	2	1	8
Other cases	7	1	3	5
Total	14	3	4	13

Source: OECD

Table 4. Latvia’s average time to resolve MAP cases in 2022

Cases resolved in year 2022	Pre-2016 cases		Post-2015 cases		All
	Number of cases	Average time	Number of cases	Average time	Number of cases	Average time
				Start to End
Attribution / Allocation cases	0	N/A	1	6.44	1	6.44
Other cases	0	N/A	3	18.52	3	18.52
All cases	0	N/A	4	15.50	4	15.50

Source: OECD