Taxation of income from the sale of waste

Income from the sale of waste (not generated under self-employment) is taxed from the first euro, at an income tax rate of 5%. 

If waste is sold to a company or a resident self-employed in waste sales, then the company or the resident must deduct income tax at 5% of the amount paid. 

Please note that income tax paid on income from the sale of waste may be recalculated at the end of the year when filing the annual income tax return.

The 20% income tax rate applies to annual amount of this and other non-employment taxable income exceeding 120 average national wages (hereinafter referred to as “ANW”) (120 ANWs in 2024 amounted to EUR 228,324; 120 ANWs in 2023 amounted to EUR 202,188; 120 ANWs in 2022 amounted to EUR 180,492; 120 ANWs in 2021 amounted to EUR 162,324; 120 ANWs in 2020 amounted to EUR 148,968; 120 ANWs in 2019 amounted to EUR 136,344). 

The annual amount of income comprised of 120 ANWs does not include income from self-employment, income from distributed profits, royalties received from the employer, profit shares and remuneration for membership in the Supervisory or Management Board, loan committee, income received under civil (service) agreements by small partnership directors in respect of management activities who, according to Republic of Lithuania Law on Small Partnerships, are not members of those small partnerships themselves.

For more detailed information, please see here (only in Lithuanian).