WALLESS Tax Cookies: Do not forget to claim your taxes!

Did you know that in Lithuania taxpayers can claim tax refunds within the statutory limitation periods? The general period is 3 years, in some cases – 5 years, and in a few cases up to 10 years.

This period is calculated backwards. It starts from the date the request for a tax refund is submitted. Or it can start from the moment the taxpayer performs an action that shows they are aware of the overpayment and seek to recover or offset it.

The limitation period for reclaiming tax overpayment is strict. After it expires, the overpaid tax can no longer be refunded and remains in the state budget. This means that if taxpayers forget or are unaware of existing overpayments, they risk losing the opportunity to recover them.

According to a recent CJEU ruling (case C-640/23), EU Member States must ensure that, in certain cases, taxes are refunded to taxpayers acting in good faith – even if the statutory limitation term has expired.