Official Translation Official Translation LAW OF THE REPUBLIC OF LITHUANIA ON DECLARATION OF THE PROPERTY AND INCOME OF RESIDENTS May 16, 1996 No I - 1338 (as amended by June 30, 1998) Vilnius ARTICLE 1. Purpose of the Law This law shall establish declaration of the property and income of the residents of the Republic of Lithuania, based upon taxes and other obligatory payments to the state. ARTICLE 2. Declared Property 1. Residents of the Republic of Lithuania, listed in Article 11 of this Law must declare : 1) property held at the start of the calendar year, acquired in the course of the calendar year, or held at the conclusion of the calendar year, as follows:
- a)property subject to registration including, movable and immovable long-term property, for which legal registration has been established;
- b)property which is not subject to registration, including, art works, wares fashioned from precious metals also, wares containing precious stones and fashioned from them, when the value of one such unit shall be in excess of 2,000 lt;
- c)money assets, money which has been loaned, shares, bonds, bills of exchange and other securities, according to each individual category, in excess of 2,000 lt.;
- d)money on hand, including that which has been borrowed. 2) all types of income obtained throughout the calendar year, with the exception of the income derived from the sale of shares, bonds, bills of exchange and other securities also, deposits withdrawn, loans paid back and interest and dividends received, which according to each category, amount to less than 2,000 lt. And the taxes paid over the course of the calendar year. (amended 30 June 1998) 2. The property established as subject to declaration, shall include both that which is held in the Republic of Lithuania and abroad. ARTICLE 3. Persons Subject to Property and Income Declaration 1. Residents of the Republic of Lithuania, listed in Article 11 of this Law, who have lived in the Republic of Lithuania during an accountable year, either with interruptions or spent 183 or more consecutive days in the Republic of Lithuania, excluding foreign diplomats, employees of diplomatic representations and consular institutions, who are foreign citizens, shall declare both property and income, filing with the regional State Tax Inspectorate, according to their place of residence, two copies of their property and income declaration, according to the procedure established by the Government of Lithuania. The property and income of minors, and minors who are handicapped, and pensioners who require care and are residing with a family, shall be declared by one of the parents, foster parents, guardians or custodians. (amended 30 June 1998) 2. Each year, the declaration shall be filed by March 1 for the preceding calendar year. The person filing declaration shall himself be liable for the accuracy of data included in the property and income declarations. ARTICLE 4. Property and Income Declaration The Government shall establish the form and methodological instructions, of the property and income declaration and how it should be completed. The State Tax Inspectorate, shall provide free property and income declaration blanks and methodological instructions to persons declaring their property and income in accordance with this Law. Completed property and income declarations shall be placed under permanent safekeeping. ARTICLE 5. Declaration of Property and Income of Political Candidates, New Politicians or State Employees and Politicians or State Employees No Longer Occupying Their Positions 1. Candidates for the Presidency of the Republic of Lithuania, members of Seimas, the Prime Minister and Ministers, or those appointed state employees and members of their families, must declare their property and income, in accordance with the general procedure, within a period of 15 days from the start of the candidacy or appointment to that position. 2. The State Tax Inspectorate shall reply within 3 weeks, in writing, to written inquiries of the Central Electoral Commission, concerning political candidates. 3. Declarations of elected politicians shall be handed over according to designation. 4. A politician who has vacated his post or a state employee, who has been relieved of his duties, shall declare his property and income for the entire calendar year. 5. Elected new politicians, appointed state employees and state employees who have left their positions or have been removed from them, shall be separated in statistical records, from those working on a steady basis. ARTICLE 6. Procedure of Certificate Submission Legal and natural persons and entities who do not have the rights of a legal person of the Republic of Lithuania, who have paid to residents listed in Article 11 of this law , any type of compensation, have given property as well as valuables without any compensation in return, or have rendered services and in certain instances have deducted taxes, by March 1 of each year, must prepare certificates of a form approved by the Government or an institution approved by it, indicating the sums of money paid, tax deductions or other mandatory payments provided, property, or services rendered during the course of the preceding year, to residents of the Republic of Lithuania. One copy of this certificate the issuers shall send or issue, free of charge to the residents of the Republic of Lithuania, indicated in Article 11 of this Law, and the other copy shall be sent to the regional State Tax Inspectorate of their area of residence. 2. The persons indicated in Article 11 of this Law, must by February 1 of each year inform in writing, the legal, natural persons and entities not having the rights of a legal person (who in the course of the corresponding calendar year have paid any type of compensation, provided property and assets or provided services) in order that the certificate indicated in part 1 of this Article would be given to the regional State Tax Inspectorate of their place of residence and to them. A certificate must be issued in accordance with the written notification. 3. Legal and natural persons and entities not having the rights of a natural person, of the Republic o f Lithuania, who have paid out compensation of any type, have given free of charge any property or valuables or have provided services over the course of a corresponding period of the calendar year, or have provided some services to political candidates or government officials starting new duties, upon their written request, must submit the certificate indicated in part 1 of this of this Article. These certificates shall be prepared and sent free of charge. 4. The Government or an institution authorised by it shall establish the time limits and procedure of certificate submission by officers and officials of State institutions of the Republic of Lithuania having the rights of operational activity entities, whose activities are regulated by the Law on Operational Activities and members of their families. (amended June 30 1998) ARTICLE 7. Data Accumulation and Control 1. The State Tax Inspectorate shall verify the accuracy of the data included in property and income declarations, collect and safeguard the declarations filed by the Republic of Lithuania residents indicated (amended 25 February 1997) in Article 3 of this Law, as well as information obtained from other sources concerning the income and property of these residents of the Republic of Lithuania, shall verify, send to the editorial office of “Valstybës Þinios” (Official Gazette) and issue a copy of income and property declaration of residents of the Republic of Lithuania to the declarer of his property and income (amended 25 February 1997). 2. Having established that taxes have been paid incorrectly, or have not been paid at all, the State Tax Inspectorate shall exact them according to the procedure established by the Law On Tax Administration or corresponding tax law. ARTICLE 8. Liability for Violation of Law The person obligated to declare his property and income, who shall avoid filing a declaration of property and income, shall be late in filing, or shall not have filed it at all or have submitted false data, shall be held administratively and criminally liable. ARTICLE 9. Guarantee of Confidentiality of Information 1. Upon obtaining information, concerning property and income, from employers and taxpayers, or while verifying the data of property and income declaration, employees of the State Tax Inspectorate and also other persons, who while in the line of duty, have become familiar with that information, must keep it confidential. 2. Persons who shall be in violation of the procedure for keeping and use of this information, shall be held liable according to procedure established by laws. The information regarding hidden or undeclared property and income, and also, the economic sanctions and payments established to be in arrears to the budget, shall not be kept confidential. ARTICLE 10. Procedure for Publication of Property and Income Declaration Data 1. Information regarding the property and income declared by the Republic of Lithuania residents may be made public with the written consent of the declarer, with the exception of information regarding the declarations of politicians and state employees and members of their families (amended 25 February 1997), listed in Annex 1 of this Law. 2. The residents of the Republic of Lithuania listed in Annex 1 of this Law , such as politicians and state employees, shall publish information on their and their family members’ property and income declarations in the special supplement of “Valstybes Þinios” (Official Gazette), at state expense. The state inspectorates shall by March 31, submit annual copies of their verified declarations to the editorial office of “Valstybës Þinios.” The information on declarations shall be published annually by “Valstybës Þinios,” before the first of May. (amended 25 February 1997) 3. The residents of the Republic of Lithuania, listed in Annex 2, such as, state employees and members of their families, may publish in the special supplement of “Valstybës Þinios,” information on their property and income declarations, at their own expense. The declarer himself shall submit the verified copy of declaration and his written consent to publish the declaration, to the editorial office of “Valstybës Þinios.” The time terms of submitting and publishing of declaration copies shall be the same as indicated in part 2 of Article 10.” (amended 25 February 1997) ARTICLE 11 Procedure for Application of the Law This law shall apply from January 1, 1996, according to the following procedure: 1) The politicians of the Republic of Lithuania and state employees listed in Annex 1 of this Law, and their family members shall according to this Law, declare their property and income from 1996; 2) Officials and officers of the State Department of Security, the internal affairs system and members of their families, as well as court bailiffs and members of their families, who shall commence to declare their property and income from 1997 (amended 17 February 1998); 3) The state employees, listed in Annex 2 of this Law, heads of economic entities and their family members shall commence declaration of property and income from 1996; 4) other residents of the Republic of Lithuania shall commence declaration of property and income from 1998. ARTICLE 12. Coming into Effect of the Law Upon coming into effect of this Law, Law No I - 729 dated December 22, 1994 of the Republic of Lithuania “On Declaration of Property and Income of Residents,” shall be no longer valid. I promulgate this law passed by the Seimas of the Republic of Lithuania PRESIDENT OF THE REPUBLIC ALGIRDAS BRAZAUSKAS Annex 1 of the Republic of Lithuania Law On Declaration of Property and Income of Residents No I - 1338 Listing of politicians, state employees and their family members, who shall declare their property and income, from 1996 and for 1997 (amended 17 February 1998) 1. The President of the Republic 2. Members of the Seimas of the Republic of Lithuania 3. The Prime Minister and Ministers, vice-ministers and secretaries of ministries of the Republic of Lithuania (amended 25 February 1997) 4. The Chairman and judges of the Constitutional Court, chairmen, chiefs of sections and judges of the Supreme Court, the Court of Appeals, and the district courts, chairmen of the Economic Court and district courts, their deputies and judges and court bailiffs (amended 17 February 1998). 5. The General Prosecutor and deputies of the General Prosecutor, departments of the Office of the General Prosecutor and also, the heads of area and district prosecutor offices. (amended 25 February 1997) 6. State Control officers 7. District chiefs, district deputy chiefs (amended 25 February 1997) 8. Chiefs of administration institutions (departments, agencies, services, inspectorates) of the Republic of Lithuania Government, departments services, inspectorates established at ministries, and heads ( general directors, directors, chiefs) and deputy chiefs of other state administration institutions (amended 25 February 1997) 9. Chairman and deputy chairmen of the Board of the Bank of Lithuania 10. Officers of the Customs Department at the Ministry of Finance and territorial customs departments 11. Officers of the State Tax Inspectorate at the Ministry of Finance and territorial tax inspectorates 12. Officials and officers of the internal affairs system (amended 17 February 1998). 13. Members of municipal councils ` 14. Seimas ombudsmen 15. Officials and officers of the internal affairs system (amended 17 February 1998). The state employees, listed in item 13 of Annex 1 and members of their families, and also the vice-ministers and members of their families may complete and submit their declarations to the State Tax Inspectorate before March 20, 1997. Annex 2 of the Republic of Lithuania Law “On Declaration of Property and Income of Residents,” May 16, 1996, No I - 1338 Listing of state employees, managers of economic entities and their family members, who shall declare their property and income from 1996 1. “A” level state officials 2. Chief of the Office of the Republic of Lithuania Seimas, section managers and their deputies 3. Chief Finance Accountant of the President’s Office, managers (heads) of office departments (sectors) 4. The Secretary of the Republic of Lithuania Government, advisors also, managers (heads) of office departments and deputies of section managers (heads), the chief accountant (financier) and deputies of the chief accountant (financier) 5. Chief accountants (financiers) and deputy chief accountants (financiers) of Government of the Republic of Lithuania institutions (departments, agencies, services and inspections) and departments, services, inspectorates established at ministries and other state administrative institutions 6. Heads and deputy heads of structural subdivisions of (departments, boards, offices, sections, subsections, sectors, bureaux, groups) of ministries 7.Chief of the Army of Lithuania and deputies of the Army Chief 8. Persons holding diplomatic rank 9. County chiefs, deputy county chiefs (amended 25 February 1997) of administration structural subdivisions (departments, boards, inspectorates, sections, services, sectors, bureaux, groups). 10. Chief accountants (financiers) of county chief ( amended 25 February 1997) administrations and deputy chief accountants (financiers) 11. Administrators and deputy administrators of municipalities 12. Heads of municipal administration subdivisions (departments, sections, subsections, sectors, bureaux, groups) and deputy heads of subdivisions and deputy chief executives of neighbourhoods 13. Prosecutors 14. Bank of Lithuania board members 15. Chairmen of councils and boards of commercial banks, deputy chairmen of councils and boards and board members and heads of administrations 16. Heads of enterprise administrations, deputy heads of administrations, council and board members and chief accountants (financiers)