Latvia Golden Visa: A Cost-Effective Path to European Residency

In the world of residency-by-investment programs, the Latvia Golden Visa stands out as a highly attractive option for investors seeking European residency. Compared to other European programs, Latvia offers a notably low investment threshold and a streamlined application process, making it one of the most affordable and efficient ways to secure EU residency. In this article, we will delve into the details of the Latvia Golden Visa program, its benefits, investment options, eligibility requirements, and why it is an excellent choice for those looking to establish a foothold in Europe.

Content

What is the Latvia Golden Visa?

Benefits of the Latvia Golden Visa

Investment Options

Eligibility Requirements

Application Process & Timeline

Why Choose Latvia for Investment?

Taxation in Latvia

Conclusion & Next Steps

 

What is the Latvia Golden Visa?

The Latvia Golden Visa is a residency-by-investment program designed to attract foreign investors by offering a pathway to residency in exchange for significant investment in the Latvian economy. This program is particularly appealing due to its low investment requirements, the straightforward application process, and the benefits it offers, such as visa-free travel across the Schengen Area and potential access to permanent residency and citizenship.

Benefits of the Latvia Golden Visa

  • Schengen Area Access: Enjoy visa-free travel within the Schengen Zone, allowing easier movement across Europe.
  • Fast-Track Process: Residency can be obtained in just a few months, making it a highly competitive option.
  • Strategic Location: Latvia is well-connected to both Western and Eastern Europe, offering benefits for business and travel.
  • Pathway to Permanent Residency: After five years of residency, holders may apply for permanent residency.
  • Affordable Investment Options: Some investment routes are among the most cost-effective in Europe, making the program accessible to a wider range of investors.
  • High Quality of Life: Latvia offers EU-standard healthcare, education, and overall living conditions, making it an attractive place to reside.

 

Benefits of the Latvia Golden Visa Over Other EU Programs

Affordability:

  • Low Investment Threshold: Latvia offers one of the lowest minimum investment requirements in Europe, starting at €50,000 for business investments.
  • Cost-Effective: Compared to other European programs like Portugal, Spain, and Greece, which require significantly higher investments.

Flexibility and Convenience:

  • No Minimum Stay Requirement: There is no requirement to reside in Latvia to maintain temporary residency, allowing flexibility for investors who do not wish to relocate immediately.
  • Streamlined Application Process: The program is known for its efficient processing times, typically ranging from 1 to 3 months.

Investment Options

The Latvia Golden Visa program provides several investment options, each with its pros and cons:

Real Estate Investment

  • Minimum Investment: €250,000 in real estate.
  • Eligible Properties: Any property within Latvia.
  • Additional Requirements: A one-time state fee of 5% of the property’s purchase price.
  • Holding Period: The investment must be maintained for at least five years.
  • Pros: Potential for rental income, tangible asset.
  • Cons: Higher upfront cost, property management responsibilities.

Business Investment

  • Requirements: Invest €50,000 in a small company (fewer than 50 employees, annual turnover up to €10 million) or €100,000 in a larger company (more than 50 employees, annual turnover exceeding €10 million).
  • State Fee: A minimum of €10,000.
  • Pros: Lower upfront cost, potential for business growth.
  • Cons: Requires business management involvement.

Government Bonds & Bank Deposits

  • Government Bonds: €250,000 in interest-free bonds, held for five years, with a state fee of €38,000.
  • Bank Deposits: €280,000 in bonds issued by a Latvian bank, held for five years, with a state fee of €25,000.
  • Pros: Secure financial instruments, no business management required.
  • Cons: Lower returns compared to real estate or business investments.

Eligibility Requirements

To apply for the Latvia Golden Visa, you must:

  • Be a non-EU, non-EEA, or non-Swiss citizen.
  • Have sufficient funds to support yourself and your family in Latvia.
  • Possess a good character, good health, and a clean criminal record.
  • Have no outstanding tax debts worldwide.
  • Hold health insurance for yourself and your family.

Family members who can be included in the application include your spouse and dependent children.

Application Process & Timeline

The application process for the Latvia Golden Visa is straightforward:

Step 1: Complete Your Investment
Before applying, finalize your chosen investment. This step is essential to demonstrate financial commitment and eligibility for the Latvia Golden Visa program.

Step 2: Prepare Your Documentation
Gather required documents, including a valid passport, proof of investment, health insurance, a clean criminal record certificate, and financial stability evidence such as bank statements.

Step 3: Submit Your Application
File your application at a Latvian embassy or consulate, including all necessary paperwork. Ensure accuracy to prevent delays in processing.

Step 5: Application Processing
Expect processing to take 30 days to 3 months, during which Latvian authorities will conduct background checks and verify your investment details.

Step 6: Approval & Residency Collection
Upon approval, travel to Latvia within three months to complete biometrics and collect your temporary residence permit, valid for 5 years.

Estimated Processing Time: 3 to 6 months.

Fees and Additional Costs: Include state fees for the investment option chosen and potential legal fees.

Why Choose Latvia for Investment?

Latvia offers a strategic location in Europe, bridging Western and Eastern markets. Latvia’s innovative IT sector and green energy initiatives provide exciting investment opportunities.

Geography and Climate

  • Area: Latvia covers approximately 64,589 km² (24,938 sq mi).
  • Population: As of 2025, the population is estimated at about 1.846 million people.
  • Climate: Latvia has a temperate seasonal climate with cold winters and mild summers.

Government and Economy

  • Government: Latvia is a unitary parliamentary republic with a president as the head of state and a prime minister as the head of government.
  • Economy: Latvia has transitioned to a market-oriented economy and is a member of the European Union (EU) and NATO. It adopted the euro as its currency in 2014.

Culture and Language

  • Official Language: Latvian is the official language, with English and Russian is widely spoken
  • Cultural Regions: Latvia is divided into four historical and cultural regions: Courland, Latgale, Vidzeme, and Zemgale.

Taxation in Latvia

Latvia’s tax regime differentiates between residents and non-residents, with distinct rules for each group:

Tax Regime for Residents

  1. Personal Income Tax (PIT):
    • Progressive Rates: In 2025, Latvia applies a two-tiered progressive PIT system:
      • 25.5% on income up to €105,300 per year.
      • 33% on income exceeding €105,300 per year.
    • Additional 3% Rate: For income exceeding €200,000 annually, an additional 3% PIT rate is applied.
    • Fixed Non-Taxable Minimum: Starting from 2025, a fixed non-taxable minimum of €510 per month applies to all residents.
  2. Social Security Contributions:
    • Employee Contribution: 10.5% of gross income.
    • Employer Contribution: 23.59% of gross income.
  3. Corporate Tax:
    • Standard Rate: 20% on distributed profits.

Tax Regime for Non-Residents

  1. Personal Income Tax (PIT):
    • Taxation on Latvian-Sourced Income: Non-residents are taxed only on income derived from Latvia.
    • Dividend Tax: A flat 20% PIT rate applies to dividends unless a double taxation treaty specifies otherwise.
  2. Withholding Taxes:
    • Interest and Royalties: Generally, no withholding tax applies, but specific rates may apply based on treaties.
    • Rental Income: 5% withholding tax on rental income from property in Latvia.
  3. Corporate Tax:
    • Optional Corporate Tax Rate: Non-resident companies can opt for the corporate tax rate (15% in previous rules) instead of withholding taxes if they are from EU Member States or jurisdictions with a tax treaty with Latvia.

To be considered a tax resident in Latvia, an individual must reside in the country for more than six months (183 days) within any 12-month period or have a permanent place of residence there

Conclusion & Next Steps

From a business immigration advisory perspective, the Latvia Golden Visa program presents a strategically advantageous and cost-effective route to European residency. With its competitive investment thresholds and efficient processing framework, Latvia offers a compelling opportunity for investors seeking EU access. Whether through real estate, business ventures, or financial instruments, the program ensures a flexible and pragmatic approach to residency, aligning with both short-term mobility needs and long-term investment strategies.

For those considering the Latvia Golden Visa, Invest Citizenship can provide expert guidance and support throughout the application process. Contact us today to explore how we can assist you in securing your European residency.