Incorporate · Europe

Company Formation in Lithuania

Low-cost EU and eurozone base popular for fintech and EMI licensing. Review the legal form, tax position, treaty network and indicative cost, then talk to one team that structures it end to end.

Licensed CSP
50+ yrs combined experience
15+ jurisdictions

Corporate tax: 15%
VAT / GST: 21%
Formation: 1-2 weeks
Foreign ownership: 100% permitted
Tax treaties: 55+
Setup cost: USD 1,200 - 4,000

At a glance

Common entity: Private Limited Liability Company (UAB)
Formation time: 1-2 weeks
Setup cost: USD 1,200 - 4,000
Annual cost: USD 1,500 - 4,000
Foreign ownership: 100% permitted
Tax treaties: 55+

FintechSaaS and technologyE-commerceHolding companyConsulting and services

Best for

Fintech and EMI or payments licensing in the EU
Low-cost eurozone operating base
SaaS and e-commerce scaling into Europe

Less ideal for

Founders wanting zero corporate tax
Those seeking privacy off a public register

Legal and formation

Legal system	Civil law
Common entity types	Private Limited Liability Company (UAB)
Formation timeline	1-2 weeks
Minimum capital	EUR 1,000 (UAB)
Foreign ownership	100% permitted
Minimum shareholders	1
Minimum directors	1
Local presence	Registered office in Lithuania required
Public registry	Directors, shareholders and beneficial owners on the register of legal entities and JANGIS
Audit	Audit required above statutory size thresholds

Tax profile

Corporate income tax	15% (reduced 0% or 5% for qualifying small companies in early years; rate rising toward 16% from 2025)
VAT / GST	21%
Withholding, dividends	15% (0% under EU or participation exemption)
Withholding, interest	10% to non-EU (treaty reduced)
Withholding, royalties	10% (treaty and EU reduced)
Capital gains	Within corporate tax; participation exemption may apply
Territorial system	No
CFC rules	Yes
Participation exemption	Participation exemption on qualifying share disposals (10%+ holdings)

Every figure above is indicative. Rates, thresholds, minimum capital, ownership rules and timelines change and vary by activity, licence and structure. They are confirmed with the relevant authority and in a tailored quote before you rely on them. This is general information, not legal or tax advice.

How to set up in Lithuania

1
Reserve the company name with the Register of Legal Entities
2
Prepare the articles of association and founding documents
3
Deposit the share capital into a temporary account and appoint a director
4
Register with the Register of Legal Entities and the JANGIS beneficial-owner system
5
Register for VAT, then convert to a full corporate bank account

Banking reality

Lithuania is a European fintech hub, so accounts are commonly opened with local EMIs and challenger banks; traditional banks apply firmer substance and KYC checks for wholly foreign-owned companies.