Latvia Provides Additional Exemptions from Thin Capitalization Rules and Alternative Tax Regime for Companies Exclusively Owned by Individuals

Latvia has published Amendments to the Corporate Income Tax Law, which were approved in December 2025 and entered into force on 1 January 2026. One of the main amendments is the introduction of additional exemptions from the thin capitalization (interest restriction) rules, including:
- Interest on publicly traded securities issued in Latvia, the EU, or EEA, which are admitted to trading on a t…