From July 1, 2026, prices in the top! store network will be reduced for all product categories subject by law to the reduced 12% value-added tax (VAT) rate. As a result, prices in top! stores will decrease for more than 150 of the most purchased product.

The top! store network will fully pass on the VAT reduction to final consumer prices, ensuring that customers receive the full benefit of the tax changes.

Which food products will be subject to the reduced VAT rate from July 1?

•    All types of bread – rye, wheat, mixed-flour, other cereals, and gluten-free bread.
•    Fresh, sterilized or pasteurized cow's, sheep's and goat's milk, including lactose-free milk, in packaging of any volume and with any fat content.
•    Fresh chilled poultry meat – chicken, turkey, duck, goose, guinea fowl and quail.
•    Fresh poultry eggs in shells of any type.

How are the new prices calculated?

Although the VAT rate is reduced from 21% to 12%, the final price does not decrease by exactly 9%, because VAT is calculated based on the product price excluding tax.

The new price is calculated using the following formula:

Old price ÷ 1.21 × 1.12 = New price

This means that the final consumer price decreases by approximately 7,4–7,5%.

Examples:

•   OPĀ! Milk 2.5% 0.9L – previously €0.65, now €0.60.

•   tip top White Bread 500g – previously €0.58, now €0.54.

•   tip top Barn Eggs No. 2 A ML (10 pcs.) – previously €2.99, now €2.77.

“The purpose of the VAT reduction is to make everyday essential food products more affordable for residents, and we fully support this initiative. The top! store network has already implemented all necessary system and pricing changes so that from July 1 customers will see the new prices on store shelves. Our priority is to ensure that customers receive the full benefit of the VAT reduction from day one. Therefore, all new prices have been correctly recalculated in accordance with the requirements established by law and will take effect simultaneously with the introduction of the reduced VAT rate,” comments Ilze Priedīte, Member of the Management Board of the top! store network.

The Reduced VAT Rate Will Also Apply to Promotional Products

If any of the above-mentioned products are included in a store promotion, the reduced 12% VAT rate will continue to apply. This means that the VAT reduction applies to both regular and promotional prices, provided that the product belongs to one of the product categories specified by law.

Which Products Will Not Be Subject to the Reduced VAT Rate?

•    Crackers, crispbreads, sweet pastries, savory buns, croissants and other confectionery products.
•    Ultra-high temperature (UHT) milk and condensed milk.
•    Frozen poultry meat and minced poultry meat containing more than 1% added salt.
•    Liquid egg products.

Price Changes Will Be Verifiable

Customers will also be able to verify the application of the new VAT rate on their purchase receipts, where the 12% VAT rate will be indicated separately.

About top!

The top! store network is one of the largest locally owned retail chains in Latvia, bringing together more than 220 stores across the country and offering customers a wide range of local and international food products at competitive prices.