Calculating the displacements of retaining walls under seismic loads is a crucial part in optimum design of these structures and unfortunately the techniques based on active seismic pressure are not sufficient alone for an appropriate design of the wall. Using limit analysis concepts, the seismic displacements of retaining walls are studied in present research. In this regard, applying limit analysis method and upper bound theorem, a new procedure is proposed for calculating the yield acceleration, critical angle of failure wedge, and permanent displacements of retaining walls in seismic conditions for two failure mechanisms, namely sliding and sliding-rotational modes. Also, the effect of internal friction angle of soil, the friction angle between wall and soil, maximum acceleration of the earthquake and height of the wall all in the magnitude of seismic displacements has been investigated by the suggested method. Two sets of ground acceleration records related to near-field and far-field domains are employed in analyses and eventually the results obtained from the suggested method are compared with those from other techniques.