23. Is there a ban on political parties engaging in commercial activities?

Section 2. Sources of Financing
(1) The political organisations (parties) may be financed from:
1) the membership fees and joining fees;
2) the gifts (donations) from natural persons;
3) the income earned by economic activities of the relevant political organisation (party);
31) the State budget - in cases specified in law;
4) other sources of financing, except from those prohibited to finance political organisations (parties) by
law.
(2) Within the meaning of this Law, a gift (donation) is any financial or other types of gratis benefits
including services, transfer of rights, release of a political organisation (party) from an obligation, refusal
from any right in favour of a political organisation (party), as well as other activities by which any benefit is
granted to the political organisation (party). Within the meaning of this Law, a gift (donation) is also a
transfer of movable or immovable property into the ownership of the political organisation (party) and
provision of services to the political organisation (party) for a charge lower than the market value of the
relevant movable or immovable property or service.
(21) The restrictions of gifts (donations) specified in this Law shall not be applicable to those mutual
transfers and account settlements that are performed between an alliance of political organisations (parties)
and the political organisations (parties) formed thereby, or between two or more political organisations
(parties) forming one alliance of political organisations (parties).
(3) Natural persons are allowed to make gifts (donations), pay membership fees and joining fees from
their income, but the total amount of such gifts (donations), payments of membership fees and joining fees
may not exceed 30 per cent of the income which such person has obtained in the previous calendar year.
(31) In case of receipt of the State budget financing provided for in Section 7.1 of this Law, natural
persons are allowed to make gifts (donations), pay membership fees and joining fees from their income,
however, the total amount of such gifts (donations), membership fees, and joining fees to all political parties
which receive the State budget financing and which are represented in the Saeima may not exceed five
minimum monthly wages.
(32) In case of receipt of the State budget financing provided for in Section 7.1 of this Law, natural
persons are allowed to make gifts (donations), pay membership fees and joining fees from their income,
however, the total amount of such gifts (donations), membership fees, and joining fees to all political parties
which receive the State budget financing and for which more than two per cent but not more than five per
cent of voters have voted in the last elections of the Saeima may not exceed 12 minimum monthly wages.
(33) If the State budget financing is received by an alliance of political organisations (parties) or a
political organisation (party) which joins an alliance of political organisations (parties) that does not receive
the State budget financing, the restriction provided for in Paragraph 3.1 or 3.2 of this Section shall apply to
the total amount of the gifts (donations) made and membership fees and joining fees paid by one natural
person to the alliance of political organisations (parties) and all political organisations (parties) forming the
alliance of political organisations (parties).
(4) Upon request of the Corruption Prevention and Combating Bureau the giver (donor), the payer of the
membership fee and joining fee shall provide to the Corruption Prevention and Combating Bureau
information regarding his or her income, money savings, debt liabilities or properties, as well as submit
documents certifying the origin of the sources of financing.
(5) Upon ascertaining the information referred to in Paragraph four of this Section, the Corruption
Prevention and Combating Bureau may request that the natural person who has given a gift (donation),
paid in membership fee or joining fee, submits a filled-in form about his or her income, money savings, debt
liabilities, and properties. The information to be indicated in the form and the procedures for its submission
shall be determined by the Cabinet.
(6) If the Corruption Prevention and Combating Bureau has requested information or documents from a
natural person in accordance with Paragraph four or five of this Section, the person shall provide the
abovementioned information or submit the documents within 30 days after the day it was requested (the
day when the person has been notified of the request). Upon a motivated submission of the natural person,
the director of the Corruption Prevention and Combating Bureau may extend such period of time to up to
three months, counting from the day when the person has submitted the submission for the extension of the
term.
(7) If, upon evaluating the information provided for in Paragraph four or five of this Section and other
materials of the file, the Corruption Prevention and Combating Bureau establishes that the gift (donation),
the paid-in membership fee or joining fee does not comply with the requirements of Paragraph three of this
Section, the director of the Corruption Prevention and Combating Bureau shall take a motivated decision on
the transfer of the relevant funds into the State budget and transfer of the property into State ownership in
conformity with Section 10, Paragraph two of this Law.
Law on Financing of Political Organisations (Parties) Article 2.

A political party may engage in some gainful (economic) but not for profit, commercial activity.