VID sends EDS letters over 2024 cash deposits, with a 30-day fix clock

The Valsts ieņēmumu dienests (VID) is sending letters in the electronic declaration system (EDS)VID to residents whose cash deposits into bank accounts in 2024 may indicate undeclared incomeVID. Recipients were selected by matching bank reports on cash deposits against the income information at VID's disposalVID: a letter may arrive where deposited amounts exceed declared income or income was not declared at allVID, taking into account both the person's own declared data and data reported by others such as employers. For performers of economic activity, business income was included in the comparison.

Letters go out from 9 November to 18 December 2026VID, twice a week, to around 1,500 people per mailing, about 3,000 a week. No letters go out in the holiday week of 16–20 November. Each letter carries the guide “Kā izvērtēt skaidras naudas izcelsmi un deklarēt ienākumus”, which helps distinguish taxable income, non-taxable income and sums of money that are not income at all, with practical examples and instructions for completing the declaration in EDS.

A cash deposit into an account does not by itself mean tax is due on that sum: what matters is the origin of the money and whether the income concerned had to be declared. A repeated deposit of cash previously withdrawn from one's own account is not new income in itself, and the same applies to depositing savings accumulated in earlier years — but the income from which those savings were formed, and whether it had to be declared in the year of receipt, still matters. The duty to declare income does not always mean a duty to pay tax: in some cases income exempt from tax must still be declared.

A recipient should first read the letter and the attached guide, review bank account statements for 2024, assess the origin of the deposited cash and check whether all declarable income is in the declaration. Where previously undeclared income that had to be declared comes to light, the 2024 annual income declaration must be filed, or the existing one correctedVID, within 30 days of receiving the letterVID, keeping the data that was already correctly stated. The declaration is filed in EDS with the document “Gada ienākumu deklarācija”; as a general rule a declaration may still be filed and corrected for three more years.

Where filing or correcting the declaration produces additional tax payable, it must be paid together with the calculated late-payment charge, which EDS computes after the declaration is filed. The amount calculated in the declaration may be paid in the EDS “Maksājumi” section or by internet bank into the single tax account: recipient Valsts budžets (VID), account LV33TREL1060000300000. Where there is no additional declarable income, nothing further has to be done for now — no reply to the automatic letter, no explanations, no documentsVID; if VID needs further information it will contact the person individually.

Questions about one's situation may be asked in the EDS section “Sarakste ar VID”, and further explanations are available on the VID website section on letters about cash deposits into accounts, including frequently asked questions on receiving the letter, assessing the origin of money, filing the declaration and further communication. Scheduling of current and overdue tax payments in instalments is available under the general procedure.

Legal basis: the likums “Par iedzīvotāju ienākuma nodokli” and MK noteikumi Nr.662 “Noteikumi par iedzīvotāju ienākuma nodokļa deklarācijām un to aizpildīšanas kārtību” listed under “Tiesību akti” for the annual income declaration, filed in EDS with the document “Gada ienākumu deklarācija”; the late-payment charge (nokavējuma nauda) is defined in the likums “Par nodokļiem un nodevām” as interest for missing a tax payment deadline.