Latvia to abolish commission and transfer public-benefit reviews to tax service

Latvia’s government on Tuesday backed a plan to abolish the Public Benefit Commission and transfer all its functions to the State Revenue Service (SRS), LSM reported. The change is intended to speed up and simplify the granting and oversight of public-benefit status.

Finance Minister Māris Kučinskis said the commission’s opinions match the SRS’s assessments and create unnecessary administrative work. Prime Minister Andris Kulbergs supported the proposal and thanked the commission for its work to reduce bureaucracy.

The Finance Ministry said the commission had contributed to the development of the public-benefit organisation system over more than 20 years, but the SRS now has the experience and expertise to assess organisations on its own. The commission’s opinions are advisory; the SRS already decides whether to grant, refuse or revoke public-benefit status. Its decisions are based on information gathered and assessed by the SRS, and the commission’s opinions do not affect the outcome in most cases.

The changes would alter only how the process is administered, not the criteria for public-benefit status, organisations’ obligations or oversight requirements. The SRS could seek advice from a competent institution or specialist when a case requires specific expertise. The ministry also said non-governmental organisations would continue to contribute to policy development, methodology and improvements to the legal framework.

A bill amending the Public Benefit Organisation Law is currently being considered by the Saeima. The Finance Ministry and the SRS will submit their proposals to the parliament’s State Administration and Local Government Committee for the bill’s second reading.