In September, Latvia adopted a Law that introduces the obligation to submit public reporting by country (CbC). Thus, the country’s domestic legislation will comply with the current European Union Directive 2021/2101.
The law determines the procedure for preparing, submitting and publishing reports of international groups of companies. The subjects of the law are commercial companies and business entities registered in the Republic of Latvia, if they meet the established criteria and conditions.
The report must include the name of the reporting parent, the reporting year, the currency used to prepare the report, information about all subsidiaries of the multinational corporation’s parent included in the consolidated financial statements for the reporting years and established or registered in the European Union or tax jurisdictions, who do not cooperate in the field of taxation.