Business form comparison
Individuali veikla vs MB vs UAB. See the total tax, the effective rate and the net cash in your pocket for 2026 — with the optimal mix of salary/fees and dividends per form.
For MB and UAB we search the salary/fee-vs-dividend split that leaves the most net cash, at the right PM rate and Sodra ceilings.
At €45,000.00 revenue, MB leaves you the most — €27,492.24 net.
€1.61 more than the next-best form.
IV
Individuali veikla
Net in your pocket
- Net in pocket
- €26,481.75
- Income tax (GPM)
- − €3,990.00
- Sodra — VSD
- − €3,549.42
- Sodra — PSD
- − €1,978.83
MB
Mažoji bendrija
Net in your pocket
- Net in pocket
- €27,492.24
- Corporate tax (PM)
- − €2,520.00
- Sodra — PSD
- − €965.76
- Dividend GPM
- − €5,022.00
Take it all as dividends (plus the minimum PSD) — no salary needed here.
- Minimum PSD applies even with little or no income.
- Dividends alone earn no pension or sickness cover.
UAB
Uždaroji akcinė bendrovė
Net in your pocket
- Net in pocket
- €27,490.63
- Corporate tax (PM)
- − €1,534.34
- Income tax (GPM)
- − €974.40
- Sodra — VSD
- − €1,732.27
- Sodra — PSD
- − €965.75
- Employer Sodra
- − €244.90
- Dividend GPM
- − €3,057.71
Pay yourself the minimum (€13,836.00) and take the rest as dividends.
Where the crossover happens
Net cash in your pocket as revenue grows, each form at its best extraction. IV usually wins when income is small; MB and UAB pull ahead as dividends do the heavy lifting.
- IV
- MB
- UAB
Informational only, not tax advice — an estimate for comparison based on 2026 Lithuanian rules (the defence-funding reform). Some cases (extra reliefs, VAT, special situations) are not modelled. Verify at vmi.lt and sodra.lt and consult a licensed accountant. Rates verified against Sodra/VMI on 2026-01-15.
IV, MB or UAB — how the calculator compares them
The three Lithuanian business forms are taxed on completely different bases, which is why one wins at low income and another at high income. Individual activity (IV) has no corporate layer: your whole taxable profit is personal income, taxed with a generous credit that keeps the effective rate near 5% at low income and climbs toward 20% as you grow. A small partnership (MB) and a UAB add a corporate income tax (PM) layer first — 0%, 7% or 17% — and then tax whatever the owner takes out.
The decisive factor is how money leaves the company. Salary (UAB) and personal-needs or management fees (MB) are deductible costs that lower the PM base, but they carry personal income tax (GPM) and Sodra. Dividends are paid from post-PM profit and taxed again at a flat 15%, but with no Sodra — classic double taxation that is still often cheaper because it avoids Sodra and stays off the 20/25/32% progressive ladder. The calculator searches the split that leaves you the most, and shows the social-security trade-off, because the cheapest route usually buys the least pension.
Every rate is a 2026 figure held in one auditable file, and the contested points (how a member’s fees are insured, whether NPD applies to 02-code income, the mid-year 50%→90% Sodra base change) are exposed as toggles rather than silently decided. Use the revenue sweep to see exactly where the IV → MB → UAB crossover falls for your margin.
It depends on revenue and how you take money out. IV usually wins at low income thanks to its 5%-rising credit and simplicity. As profit grows, MB and UAB pull ahead because dividends avoid Sodra and stay at a flat 15%, while IV and salary climb the progressive 20/25/32% ladder. The revenue-sweep chart shows the crossover for your numbers.