On November 15, 2018, the Lithuanian Free Market Institute (LFMI) held a conference on the shadow economy in Vilnius to address the scope and drivers of the shadow economy in Lithuania and across Europe and to discuss the most effective policies in tackling the issue.
The shadow economy in Lithuania remains pervasive despite economic growth, and as many as one in two people would consider informal consumption and undeclared work if their financial circumstances worsened, shows a LFMI research report.
The aim of the publication Shadow Economy: Understanding Drivers, Reducing Incentives is to present and analyse the results of representative population surveys into public perceptions of the shadow economy and engagement in illicit activities that were conducted in six countries.
Taxation of tobacco products raises severe economic and social concerns which should be taken into account when formulating further tobacco taxation policies, including on novel tobacco products. Increased education rather than higher excise duties should be the main policy.
In late June the Lithuanian Parliament adopted a law that consolidated the employer and employee base for social security contributions and significantly cut the rate of contributions.
The Lithuanian Free Market Institute is pleased to announce a conference Can We Do More to Boost Lithuania’s Competitiveness?, which will be held on July 9, 2018, in Vilnius in cooperation with the Heritage Foundation and the Ministry of Economy of the Republic of Lithuania.
May 23, 2018 – the symbolic Tax Freedom Day, marking the day when an average taxpayer has paid all the dues to the government and begins to work for himself, falls in Lithuania. This year the Tax Freedom Day comes on the same day as in the last year, according to the Lithuanian Free Market Institute (LFMI).
May 11, 2018 – today Lithuania commemorates the Respect for Taxpayers Day for the first time. On this occasion, the Lithuanian Free Market Institute (LFMI) and partners present the Charter of Taxpayer’s Rights, taking the opportunity to remind that taxpayers have not only duties to observe but also rights to enjoy.
With several policy proposals on introducing a progressive taxation model put on the table, the upcoming parliamentary session in Lithuania is sure to become a heavily debated one. In fact, every tenth taxpayer is threatened with higher tax burden as personal income tax might increase from a flat 15%up to 20%.