Business Register in Lithuania generation of the general

Business Register in Lithuania, generation of the general list of statistical units Author: Dalia Mačiuitienė Department of Statistics of Lithuania Economic Entities Register Division 2/24/2021 Business Register in Lithuania

Introduction 1. Historical background, main functions, IT solutions 2. Business registration 3. Units in Business Register 4. Business register variables and coverage 5. Sources for updating 6. Business register main production and Intranet page 7. Methodology 8. Users and maintenance 2/24/2021 Business Register in Lithuania

Business Register in Lithuania 1. Regular maintenance since 1998 2. Regulated by -Regulations of Statistics Lithuania -EU regulations 3. Latest development project (new model) 2000 – 2002 4. Personnel: 8 in register maintenance and services 5. Functions -Basic Register on business units -Sample frame -Statistics of business population -Services 2/24/2021 Business Register in Lithuania

Business Register 1. Operational data base (31 Gb) 2. Database of Organizational Numbers (mainframe) (including public organizations) 2012. 01 2/24/2021 Business Register in Lithuania - 83624 legal units - 100163 local units - 98009 physical persons

IT-solution - distributed Novell Net. Ware - workstations using Window NT and XP - database server Solaris 2. 6 / sun enterprise 5500 - database software: Oracle 9. 2. 0. 1. 0 - online development tool: Oracle Developer 2. 1 2/24/2021 Business Register in Lithuania

Business registration in Lithuania 1. The register of economic entities - legal register 2. Tax payers register 3. Social insurance fund tax payers register 4. Business Register of Statistics Lithuania - a statistical basic register and frame - regulated by EU legislation 2/24/2021 Business Register in Lithuania

Business Register model in Lithuania An administrative unit – a unit from Administrative business register. A legal unit can at a given time be tied to an administrative unit. An enterprise corresponds at a given time to one or to (the smallest) combination of legal units. An enterprise has at a given time at least one LKAU. A LKAU _Unit is at a given time tied to an enterprise. 2/24/2021 Business Register in Lithuania

The Units of BR of Statistics Lithuania Data collection units Legal unit (Le. U) Legal units include: · legal persons whose existence is recognized by law independently of the individuals or institutions which may own them or are their members (partnership, limited liability company, co-operative society, etc. ) · sole proprietors (natural persons) who are engaged in an economic activity in their own right. The rights and obligations of a legal unit are: - Right of ownership, permitting it to hold assets in its own name. - Right to engage in activities in its own name and on its own behalf. - Right to conclude contracts with third parties. - Right to institute legal proceedings, i. e. to defend its interests. In the Lithuanian BR Le. Us are 2/24/2021 - obtained from Economic units register - used as reporting unit - subject to statistical surveys. Even though data would be collected for establishment, the legal obligation to respond lies on the Le. U. - usually the basic units in the administrative files. - Right of ownership, permitting it to hold assets in its own name. Business Register in Lithuania

Enterprise · an organizational unit producing goods or services which benefits from a certain degree of decision-making, especially for the allocation of its current resources · caries out one or more activities at one location Local Kind-of- Activity Unit (LKAU) · is an enterprise or a part thereof. · is situated in a geographically identified place. · carries out one activity. In the Lithuanian BR LKAUs - in general must employ at least one person. - are used as an observation unit in the BR surveys (the Le. U is responsible for reporting its activities by LKAUs). Statistical units · Legal unit · Enterprise · LKAU (LU, KAU) ·Enterprise group ·Institutional unit 2/24/2021 Business Register in Lithuania

Local kind of activity units updating 1. Population about 2500 enterprises -threshold 20 and more employees 2. Updating frequence: quarterly (administrative source) annual survey (once per 2 years) 3. Survey: filled in questionnaires with information about their LKAUs by email or by mail questionnaires collect 5 teritorial statistical offices data placed in LKAUs data base 4. List of updated LKAUs on 10 th of October every year 5. List of updated KAUs on 10 th of October every year (prepared by branch statisticians and SBS division) 2/24/2021 Business Register in Lithuania

Enterprise groups 1. EU requirement – Council regulation No 177/2008 of the European Parliament and of council of 20 February 2008 establishing a common framework for business registers for statistical purposes and repealing Council Regulation (EEC) No 2186/93 2. Enterprise groups project (financed by PHARE GRANT) 3. Source Information from Securities Commission Inquiry of controlled units and units which are controlled (Tax insp. ) 4. Creation of sub register 5. 6. 357 all resident group, 335 foreign controlled truncated group, 168 – domestically controlled truncated group (2010) Users: FATS statistics, FDI statistics for control purposes; tables in publication 2/24/2021 Business Register in Lithuania

Business register: variables 1. Identification - ID - number - name - address (postal, location, regional code) - telephone, fax, e-mail 2. Classification - economic activity (NACE) - legal form - ownership code - classification of sectors - regional classification 3. Size variables - employment - as annual average, as full time equivalent - turnover 4. Status variables - starting date - cessation date - date break off activity - date of activity renovation 2/24/2021 Business Register in Lithuania

Business Register: Coverage - Business units - Non – profit units - Public sector units - all size classes - all legal forms - all industries VAT – units (Value added tax) 2/24/2021 Business Register in Lithuania

Business Register: Sources 1. Administrative files 2. Surveys 2/24/2021 Business Register in Lithuania

Business Register: Updating frequency 1. Annual 2. Quarterly, monthly 3. Daily 2/24/2021 Business Register in Lithuania

Business Register: Surveys 1. Starting legal units: - one-off (questionnaires sent in one month after their registration) 2. Legal units not included in the list of surveys, haven’t been active some time, but have number of employees, units without activity code etc. (about 10 percent of population of Busines register) 3. Local units updating survey - 2/24/2021 Business Register in Lithuania annual (once per 2 years)

Business Register: Survey facilities 1. Questionnaires by paper forms -printing out identification data and activity code 2. Filling questionnaire by internet 2/24/2021 Business Register in Lithuania

Sources for Business Register in Lithuania – Administrative files 1. Administrative business register (The register of legal entities) plus financial statement data 2. Social insurance fund tax payers register 3. VAT payers data base 4. Tax payers register (updated list of local units), Declarations from Tax inspection (individual enterprises) Important element: unique identification code 2/24/2021 Business Register in Lithuania

Administrative business register - new business units - updating data for old units will be granted - financial statement data -The updating data for legal units - identification number - official name - postal address - location address - telephone number - date of creation - starting date - date break off activity - break of activity reason - date of activity renovation - cessation date - cessation reason - types of units - juridical form - name of manager (administrator, liquidator), phone and personal code - capital 2/24/2021 Business Register in Lithuania

Social insurance tax payers register the updating data for legal units -status of activity -number of employees 2/24/2021 Business Register in Lithuania

Tax payers register, balance sheets and declarations, VAT register Financial statement data - turnover - normal accounting period: 12 months - VAT - accounting period: 1 mont Local units 2/24/2021 Business Register in Lithuania

Business register main production and intranet page Frozen list as a Sample frame - Time table for branch divisions - Last updated Information from BR for branch divisions - Fulfiling BR with data from administrative sources (number of employees, turnover, VAT incomes) - Control of information received from branch divisions - Preparation of frosen list (preliminary, final) Register (list) of surveys for next year - preparation procedures presentation for users - preparation of information for each enterprise Intranet page 2/24/2021 Business Register in Lithuania

Methodology Regulation by (top level) - EU regulations - Regulation of Statistics Lithuania - Order of director general of Statistics Lithuania Methodological work of BR division - Rules for the preparation of register as a sample frame (frozen register) - Methodology for local kind of activity units updating - Rules for updating principal activity - Rules for selecting and coordination of survey sample estimations 2/24/2021 Business Register in Lithuania

Business register users and maintenance Centralized maintenance - Business register division - Territorial divisions of DS Internal users - Divisions of department of Statistics - Territorial divisions of DS External users - Tax inspection and inter institutional database - Labour exchange - Ministry of Finance 2/24/2021 Business Register in Lithuania

Thank you for listening 2/24/2021 Business Register in Lithuania