Tax Guide

Bulgaria corporate taxes

Bulgaria adopted the euro on 1 January 2026 (fixed rate 1.95583 lev to the euro). It has one of the EU’s simplest and lowest tax systems: a 10% flat corporate tax, 10% flat personal income tax, and 20% VAT. Payroll social security is shared between employer and employee. Filing runs through the National Revenue Agency; SAF-T reporting begins for large taxpayers in 2026.

Currency EUR (€)Tax year Calendar yearEU member stateLast reviewed 2026-07-12
10%
Corporate income tax
Flat rate
20%
VAT standard rate
Reduced: 9%
10%
Income tax
Flat rate, no allowance
5%
Dividend tax
Residents & non-residents
~19%
Social — employer
Employee ~13.8%
2026
Euro adoption
Fixed rate 1.95583 BGN

Company forms & registration

A company registers with the Commercial Register at the Registry Agency; beneficial owners are filed there too. Companies must redenominate their capital into euro during 2026.

Main legal formsOOD / EOOD (private LLC / single-member), AD / EAD (joint-stock)[3][8]The OOD/EOOD is the default choice for most businesses.
Minimum share capitalOOD/EOOD: ~€1; AD: ~€25,565[3][8]Redenominated from BGN 2 and BGN 50,000 at the fixed conversion rate.
Registers a new employer meetsCommercial Register (incorporation, UBO) → NRA (tax, VAT, social security)[8][5]

Other statutory requirements

Obligations beyond filing a tax return that every operating company must satisfy.

Euro capital redenominationConvert registered capital to euro by 31 December 2026[8]A one-off, fee-free filing of updated documents with the Commercial Register.
SAF-T (from 2026)Large taxpayers report a standard audit file[5]Phased in from 2026 for large taxpayers (monthly by the 14th), with medium and small entities to follow.
Beneficial ownersA person controlling more than 25%, filed within 7 days[8]
Document retention10 years (payroll 50 years)[4]

Corporate income tax

Rate10%[1][5]A flat rate on taxable profit, unchanged since 2007.
Return & advancesReturn by 30 June; monthly or quarterly advances[5]A 5% rebate (capped) applies to early electronic filing. Advances depend on prior-year revenue.
Tax on expenses10% on certain expenses[1]On representation, in-kind social expenses and company-car costs used privately.

Withholding taxes & dividends

Dividends5%[1][5]To residents and non-residents. EU parent-subsidiary exemption to 0% for a ≥10% holding held two years.
Interest & royalties (non-residents)10%[1]0% between associated EU companies under the directives.

VAT (ДДС)

Standard rate20%[2][6]
Reduced rate9%[2][6]Hotel and tourist accommodation, books and periodicals, baby food and hygiene products. 0% for exports and intra-EU supplies.
Registration threshold~€51,130 (BGN 100,000)[6]Register within 7 days of exceeding it.
VAT returnMonthly with ledgers by the 14th[6]

Payroll: income tax & social security

Income tax is a flat 10% with no tax-free amount; social and health insurance are shared between employer and employee up to a maximum insurable income.

Income tax10% flat[7]
Employer contributions~19% of gross[7]Pension and social funds plus health, and an employer-only work-accident contribution.
Employee contributions~13.8% of gross[7]Up to a maximum insurable income (about €2,112/month in early 2026, rising later in the year).
Minimum wage€620.20/month (2026)[7]
ReportingWithheld tax and contributions by the 25th[7]

Other taxes companies meet

Local property tax0.01%–0.45% of tax value[5]Set by each municipality within statutory bands.
Property transfer tax0.1%–3%, set by municipality[5]
Vehicle taxAnnual, municipal[5]

Accounting & financial statements

Accounting standardsBulgarian standards or IFRS[4]
Annual statementsPublished in the Commercial Register by 30 September[4][8]
Statutory audit2 of 3: assets ~€1.02m, revenue ~€2.05m, 50 employees[4]Joint-stock companies are audited by default.

Forms & filings

Every recurring return and report a typical company deals with, what triggers it, and where it goes. Registration-time and one-off filings are marked “per event”.

FormWhat it isWho filesFrequencyDeadlineFiled with
CIT returnCorporate income tax return[5]Companiesannual1 March – 30 JuneNRANRA
VAT returnVAT return & ledgers[6]VAT-registered personsmonthly14th of the following monthNRANRA
SAF-TStandard audit file (large taxpayers)[5]Large taxpayers (from 2026)monthly14th of the following monthNRANRA
PayrollIncome tax & social contributions[7]All employersmonthly25th of the following monthNRANRA
Annual statementsAnnual financial statements[8][4]CompaniesannualPublished by 30 SeptemberCommercial RegisterRegistry Agency

Compliance calendar

The same filings grouped by rhythm — what recurs when.

monthly
  • VAT return14th of the following month
  • SAF-T14th of the following month
  • Payroll25th of the following month
annual
  • CIT return1 March – 30 June
  • Annual statementsPublished by 30 September

Sources

Numbered references cited throughout this profile. Laws link to consolidated texts in the official register.

  1. Corporate Income Tax Act (ЗКПО)Ministry of Finance · law
  2. VAT Act (ЗДДС)Ministry of Finance · law
  3. Commerce Act (Търговски закон)lex.bg · law
  4. Accountancy Act (Закон за счетоводството)Ministry of Finance · law
  5. Corporate tax & SAF-TNRA (National Revenue Agency) · authority
  6. VAT — guidanceNRA / Ministry of Finance · authority
  7. Payroll — income tax & social securityNRA (National Revenue Agency) · authority
  8. Commercial Register & beneficial ownersRegistry Agency · register