Wednesday, 26 March 2014

Bulgarian taxes

10% Corporate income tax

. 10% withholding tax on interest, royalties, service fees, capital
gains and certain other income accrued to non-resident entities

. 5% withholding tax on interest and royalties to EU related parties

. 5% withholding tax on dividends distributed to non-EU residents

. 10% one-off tax on certain expenses

10% Personal income tax

. up to 31.4% mandatory insurance contributions on a capped base
(BGN 2000)

. 10% one-off tax on interest, royalties, services fees, capital gains
and certain other income payable to non-resident individuals

. 5% one-off tax on dividends and liquidation quotas

20% Value added tax

. reduced rate of 9% for hotel accommodation

. 0% for exports and certain other activities

. refund of input VAT within three months (regular term)

. faster refund within one month if certain requirements are met

Other taxes, duties and fees

. 0.01% – 0.45% annual real estate tax

. 0.1% – 3% transfer tax for immovable property and vehicles

. taxes and fees on vehicles, donations, inheritance, etc.

. excise duties on energy, fuels, alcohol and tobacco

. customs duties on importation of goods from outside the EU