Incentives for investors | Invest in Latgale

Incentives for investors

Rezekne Special Economic Zone (RSEZ) – one of the most significant junctions of international transport arteries and railway lines in Latvia; it is related to all major resources of raw materials and markets in Russia, Belarus and other CIS countries. RSEZ was founded in 1997 to promote trade, develop industry and transportation, as well as export and import of goods through Latvia by attracting investments for development of manufacturing and infrastructure and creation of new work places. Companies registered in RSEZ can get both direct tax reductions (real estate tax, enterprise income tax) and indirect tax allowances by establishing free zones in the territory of RSEZ as well as by making investments.

Total area of RSEZ: 1155 ha (including approximately 995 ha of greenfield and more than 160 ha of brownfield land). Interactive RSEZ real estate map: map.rezekne.lv.

Investors can facilitate dynamic growth in their companies by taking advantage of different types of tax relief and investment incentives applicable in RSEZ:

80% relief on the corporate income tax
80–100% relief on the applicable real estate tax

Tax subject to exemption or relief	Tax rate in Latvia	Tax rate for companies having RSEZ status
Real estate tax	1.5%	0–0.3%
Corporate income tax	15%	3%

A possibility of creating free customs zones in the territory of RSEZ – the rate of 0% on the value added tax is applied to goods export and the supply of goods that are imported into the territory of the European Union from third countries.

Conditions for granting a RSEZ Company status