The new tax reform will come into power from January 1, 2019. This includes changes to the financial expression of wages, albeit in many cases this will only lead to a gross wage increase. Vilnius University Department of Law lecturer, lawyer dr. Vida Petrylaitė notes that the new changes could lead to confusion because the changes are coming into power all at once, lrt.lt writes.
© DELFI / Karolina Pansevič

The jurist reminds that wages will grow "on paper", however this illusion should not conceal that net wages will see no real change. While employers have been asked to multiply agreed wages by 1.289, leading to increased gross wages, due to taxation changes there will be no changes in net wage.

The only exception to this could be related to changes in the untaxed income size for employees, who use second stage pension savings, depending on their choices, V. Petrylaitė points out.

Lithuania to step up visa issuance for foreign startups

Lithuania will start issuing visas to businessmen establishing startups in the country faster as of...

Lithuania's aviation group buying UK's charter airline

Avia Solutions Group , an aviation group owned by Lithuanian businessman Gediminas Ziemelis , is...

Training center to replace old correctional facility in Vilnius

The demolition of an unused complex of buildings that used to house a correctional facility will...

120 million EUR will be provided for European beekeepers

The European Commission will provide €120 million to the EU's beekeeping sector over the next...

Court: Lithuanian companies don’t have to pay million-worth fine to Serbia

Arvi , a Lithuanian fertilizer, fodder, sugar and turkey meat production group owned by businessman...