How to do your VAT registration
You may need a VAT registration when your turnover from activities exceeds the VAT registration threshold.
If you’re new to VAT, this page walks you through the basics of the registration process. Expect the registration to take 3 to 5 days.
Consult a tax advisor for more details on criteria and requirements that apply to you.
Read in Lithuanian.
What your registration entails
VAT collected from providing services
The VAT you collect from selling your services (transportation services sold to Riders) is payable to the Tax Authority with your VAT return.
VAT on business expenses
Besides collecting VAT, VAT can also be charged to you by several parties. For example on business expenses such as fuel and car repairs. When you are VAT registered, you may be able to deduct this from your collected VAT.
Criteria and Requirements
Register for VAT if your last annual turnover exceeds 45.000 EUR during last 12 month. If your turnover does not exceed this threshold, registration is not obliged, but you can apply for a registration voluntarily.
To apply for a VAT registration, the following documents have to be submitted per Partner Driver type:
- Sole proprietor: form FR0389
- Partnership (MB) and enterprise (UAB): form FR0388
More information can be found on this tax authority website
We strongly recommend you speak with a tax professional. Here are a few suggestions:
Be sure to provide us with a valid VAT-number (by adding it to your Tax Profile / Invoice Settings page) and to update your tax profile in the Uber App.
- Do I need to register a company?
No, registering a company is not required, registering an individual activity is sufficient. Naturally, you can register a company if you wish.
To get a company registered, you have to get in touch with the Legal Entity Register (LER). You can start the registration process on this website.
Registration of an individual activity happens at the local tax authority, via this website.
Heads up: after taking these steps, you are not automatically VAT registered. You will need to apply for a VAT registration separately.
- How do I calculate my turnover via the Uber app?
Your turnover is the sum of the services you sold. On the Uber app this is the sales made to the Riders. However, please be aware that for tax purposes you likely need to include the turnover from any other activities you perform outside of the Uber platform too.
We suggest speaking to the tax office, chamber of commerce and/or your tax accountant to be sure you are calculating your turnover correctly!
- How do I ensure my compliance?
A VAT return can be submitted by filling in form FR0600
If your company is engaged in activities subjected to VAT and activities not subjected to VAT, a return should be submitted by filling in form FR0516.
If you supplied services to Uber you must declare this in your EC Sales Listing. You must also fill in a separate declaration via form FR0564.
More information on VAT returns and the EC Sales Listing can be found here.
- How do I submit my VAT return and EC Sales Listing (recapitulative statement)?
This can all be done online through the government portal. However, we suggest speaking to the tax office, chamber of commerce and/or your tax accountant to be sure you are compliant!
- What are Uber’s details I need to use for my EC Sales reporting?
You may need to mention Uber BV’s VAT number: NL 8520 71589 B01
- I receive other payments from Uber (e.g. incentives, referrals of new drivers). What should I do as regards VAT for these?
Typically, these payments are considered as services provided by you to Uber. These services are normally not subject to VAT in Lithuania, but they should be mentioned in your EC Sales Listing. Below are some examples of those services:
- Referrals: Getting someone you know to sign up as a driver as well helps Uber a great deal. Therefore, we sometimes pay you for rendering this referral service to us.
- Availability services provided by you to Uber: This is a supply of services rendered by you to Uber when you commit to make yourself available to perform Transportation Services via the Uber app for a certain period of time.
You may also obtain other income from the Rider, such as a cleaning fee. This is a charge by you to the Rider for soiling your car, which is subject to VAT and should therefore be included in your VAT return.
Please speak with the tax office, chamber of commerce and/or your tax accountant to ensure you apply the right treatment.
- How do I know if I need to register for full VAT or for VIES only?
- Your annual turnover durinbg last 12 month exceeds EUR 45.000: you must get a full VAT registration;
- Your annual turnover is below EUR 45.000: you can opt for a full VAT registration. If you do not, you must get a small business VAT registration (VIES-only registration).
- Can I just register for VAT fully?
You can opt to register for VAT under the general VAT regime. In such a case you will invoice VAT to your clients and be able to deduct VAT on your professional expenses.
If you do so, do not forget to update your Uber profile (by unticking the “small business regime” box)
Please consult your tax advisor for further information.
- I have heard I need to “reverse-charge” VAT on Uber’s services fee, what does this mean for me?
You contract with Uber BV based in the Netherlands, therefore, in accordance with EU VAT rules you need to reverse-charge Lithuanian VAT at 21% on Uber’s services fee, this means that:
- Uber charges no VAT on its services fee invoices;
- You should self-assess 21% of Lithuanian VAT on these Uber’s services fee invoices;
- You should declare this VAT on your VAT return.
For you, this VAT can be either neutral or may need to be remitted to the Lithuanian tax authorities depending on your VAT regime.
Please consult your tax advisor for further information.
- I have been driving on the Uber platform for a few years now, and have not registered for VAT yet. Is it too late?
It is never too late. We strongly recommend you to reach out to the Tax Authorities and/or your tax accountant to register and regularize your situation. Based on the business information provided (date of start of your entrepreneurial activity and turnover generated since that date) the Tax Authorities will be able to assess the VAT due with respect to past years.
- The Uber Tax Summary explained?
What is it? Your Tax Summary is a document that provides a detailed breakdown of your earnings (gross fares) and potential business expenses. It’s not an official tax document but could help you or your preferred tax professional prepare your tax return.
Who gets it? If you drive with Uber, you’ll receive a Tax Summary. Every Uber partner gets one.
Where is it? You can access your Tax Summaries by logging in to partners.uber.com and clicking on Tax Summary.
When is it available? Your Tax Summary is issued monthly.
The VAT you have charged appears on the Tax Summary (and on the invoices to your customers), but only if you have updated your Tax Profile / Invoice Settings page with your VAT registration details.
Here is an explanation of some common terms:
- Gross Uber Rides Fare: this is the full fare that you have charged and invoiced to riders and includes VAT (if any) that you have charged.
- VAT on Transportation: this is the portion of the fare that you have charged which is VAT. The fare is inclusive of VAT (at 21% in Lithuania).
- Uber Rides Service Fee: this is the fee charged by Uber to you. It is taken from the Gross Uber Rides Fare.
- Is there any additional information I can read?
Every Partner is unique and so are their specific tax circumstances. As such, the information on this page may not cover your tax needs and it should not be relied upon to replace you seeking independent tax advice. Uber can’t provide you with tax advice for your individual situation, and therefore we strongly recommend speaking with a professional tax advisor to get tailored help and advice for your specific circumstances. The information on this page is for Lithuanian audiences only.
Note: some links to external sources provide information in Lithuanian.
Last updated on June 27 2018