Cash Transactions Under Stricter Control

In Latvia, the cash transaction limit of €7,200 is still higher than in many EU member states. However, from 2027 a unified European Union restriction will come into force – cash payments over €10,000 will be prohibited, and transactions between €3,000 and €10,000 will require customer identification and reporting to the Financial Intelligence Unit (FIU).

BDO Latvia Partner Viesturs Briežkalns explains that in several EU countries, the rules are already much stricter – for example, in Spain, France, and Italy the limit for cash transactions is only €1,000, and penalties for violations can reach up to 40% of the transaction amount. For non-residents, however, some countries allow higher thresholds, such as €10,000 in Spain and €15,000 in France.

The article also highlights the obligations when traveling with cash across EU borders – carrying more than €10,000 in cash or equivalent assets requires a mandatory customs declaration, with potential fines and confiscation if not declared.

📖 Read the full article in Dienas Bizness (29 July issue).