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"SIA" · 4 results

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Tax and law13 min read

Tax on selling cirsma in Latvia: 10 % PIT, a 25 % or 50 % expense allowance, and the €50,000 VAT threshold

Selling cirsma is not a capital gain — it is income from the use of property, taxed at 10 %. Cirsma and harvested roundwood are two different transactions with 25 % and 50 % expense allowances, so the effective burden is 7.5 % and 5 %. Five scenarios with numbers and links to the tax authority's own guidance.

Market structure12 min read

Who owns Latvia's forests: 68% private, but 1% of owners hold 44% of the area

The familiar narrative of a roughly even state-versus-private split does not match the VMD data. Measured by forest compartments, private ownership outweighs the state by a factor of 2.17. Within the private sector, concentration is extreme: the top 1% of owners hold 44% of the area. We break down ownership across 276,011 cadastres.