Bulgaria’s National Assembly is reviewing a draft bill, presented on 2 December 2024, to amend the Value Added Tax (VAT) Act to implement the EU small business scheme for cross-border supplies.
The draft bill is under parliamentary review and will determine Bulgaria’s approach to cross-border VAT compliance within the EU.The scheme allows small businesses in one EU Member State to benefit from VAT exemptions in other Member States, provided their supplies in those States do not exceed the respective domestic thresholds and their total EU-wide supplies remain below EUR 100,000.
The bill also proposes adjusting Bulgaria’s VAT registration threshold to an annual turnover of EUR 85,000. This change aligns with the scheduled increase from the current threshold of BGN 100,000 to BGN 166,000 on 1 January 2025.
Earlier, The Bulgarian Ministry of Finance released proposals for amendments to the various tax legislations for public consultation on 18 September 2024. The proposed changes aimed to align with European Union (EU) laws and enhance the administration of VAT in Bulgaria.
