Checklist for new businesses

1. Register your bank account with EDS

📌 Deadline: Within 5 working days after opening the account.
💡 Tip: You can open an account with either a Latvian bank or a foreign credit institution (Revolut, Wise).

2. Register payment systems (PayPal, Stripe, etc.) with EDS

📌 Deadline: Within 5 working days after registration.
💡 Tip: List all payment accounts, even if they are currently only test accounts.

3. Register a physical location (office, workshop, warehouse)

📌 Deadline: Within 10 days of starting work at that address.
💡 Tip: Many people forget to register a home office - but this is mandatory if you actually work from home.

4. Register an online structural unit (website, online store, marketplace account)

📌 Deadline: Within 10 days of registering the website or the profile on the platform.
💡 Tip: A website must be registered if it can be used to buy something, reserve a service or product, or if it advertises third-party services.

5. Submit a notification of your NACE code (type of activity)

📌 Deadline: Within 1 month of registering your company.
💡 Tip: Add a few extra codes even if they are not needed right now - this will save you time when you expand.

6. Sign a contract with an accountant or set up your own accounting records

📌 Deadline: Before the first economic activity (purchase, sale, contract).
💡 Tip: It is better to bring in accounting specialists straight away, to avoid mistakes in your first invoices and tax returns.

7. Appoint a person to submit reports to EDS

📌 Deadline: Immediately after registering the company.
💡 Tip: If you have an accountant, register their EDS access so they can submit reports.

8. Register as a VAT (PVN) payer

📌 Deadline: (1) When turnover reaches EUR 50,000 in the current calendar year, or (2) when purchasing goods from the EU for an amount exceeding EUR 10,000. If the turnover is not expected to exceed EUR 55,000 by the end of the year, registration is permitted from January 1 of the following year. (3) If you plan to receive services from companies registered in the EU (e.g., advertising with Google Ads, renting apartments with Airbnb), then before purchasing these services.
💡 Tip: It is better not to wait until the last minute to register, as preparing the documents may take some time.

9. Register for the special VAT regime for small businesses

If your company's turnover in a calendar year is below EUR 50,000 but you plan to purchase services from companies registered in the EU (e.g., advertising with Google Ads, renting apartments with Airbnb), you can register for a simplified VAT regime designed for small businesses.

📌 Deadline: Before receiving such services.
💡 Tip: This can be a good option if you do not expect turnover above EUR 50,000.

10. Register with the OSS (One-Stop-Shop) system

If your total sales of goods to individuals in other European Union countries (for example, if you run an online store) exceed EUR 10,000 per year, you must register with OSS to declare and pay VAT.

📌 Deadline: When sales to individuals in other European Union countries exceed EUR 10,000. Declarations and VAT payment – once per quarter.

11. Open a cash register system (if you accept cash)

📌 Deadline: Before receiving the first cash payment.
💡 Tip: Online stores often only need a virtual cash register (e-kase), which is cheaper and simpler to account for.

12. Register employees with EDS

📌 Deadline: At least 1 day before the employee starts work.
💡 Tip: Don't forget to draw up an employment contract and check the minimum wage and taxes, to avoid penalties.

13. Submit employee reports (declarations of wages and contributions)

📌 Deadline: Every month, by the 17th, for the previous month.
💡 Tip: Even if the employee has not worked (a zero report), the declaration must still be submitted.

14. Regular VAT reporting

📌 Deadline: Every month (or every quarter, if permitted) by the 20th.
💡 Tip: If you have transactions with the EU, check that your VIES reports are correct - this is a common reason for penalties.

15. Submission of the annual report

📌 Deadline: By 31 May of the following year.
💡 Tip: Don't leave it until the last minute - accountants are always overloaded in March and April, and late submission can be fined.

16. Notification of amounts paid to individuals

📌 Deadline: Once a year, by 1 February of the following year.
💡 Tip: This covers not only salaries but all payments to individuals (e.g., rent, services under contract). Many business owners forget to report rent - and get fined.