Latvia's Ministry of Finance publishes EUR 16bn 2026 tax revenue forecast as the new state budget law takes effect

Latvia's Ministry of Finance reported that the law on the 2026 state budget and the 2026 to 2028 budget framework entered into force on 1 January 2026, setting out a balanced approach to planning both public spending and revenues. It published an infographic forecasting total 2026 tax revenues of EUR 16bn. Of the projected total, 37% is expected to come from mandatory state social insurance contributions including second pillar pension contributions at EUR 5.9bn, followed by value added tax at EUR 4.3bn (27%) and personal income tax including the state and municipal shares at EUR 2.9bn (18%). Excise duty revenues are forecast at EUR 1.4bn (9%), corporate income tax at EUR 706m (4%), real estate tax at EUR 244m (2%), and other taxes combined at EUR 502m (3%). The ministry linked the revenue structure to economic development trends, employment and consumption dynamics, and the effects of implemented tax policy.