Bulgaria: Government announced several tax relief measures regarding VAT exemption
07 May, 2020
The Government has taken some tax relief measures regarding Value Added Tax (VAT). These are:
On 4 May 2020, a draft Bill was submitted in the Bulgarian Parliament for introducing a 9% reduced VAT rate from 20% rate to support the restaurant and catering sector, badly affected by the COVID-19 outbreak. Also, this Bill proposes this 9% reduced VAT rate for these sectors applied from 1 June 2020 to 31 December 2021.
On 23 April 2020, through Decree № 80, the Council of Ministers adopts the rules of the exemption from import duties and value-added tax on imports of the territory of the country of goods needed to fight against the effects of the COVID-19 pandemic in 2020, carried out by certain individuals.
Bulgaria published its 2025 State Budget Act on 27 March 2025, introducing several key updates. The Act aligns the country’s Pillar 2 global minimum tax laws with OECD guidelines from 2023 and 2024, including rules on tax carryforwards,
Bulgaria's parliament passed the State Budget Bill for the year on 21 March 2025 which includes amendments to the Value Added Tax (VAT) Act. The amendments lower the mandatory VAT registration threshold from the current BGN 166,000 to BGN
Bulgaria’s National Assembly has adopted the draft law on the state budget for 2025 at its second reading on 21 March 2025. The 2025 budget proposes no tax increases and projects a deficit of 3% of the gross domestic product (GDP). It forecasts
The IRS updated its Country-by-Country Reporting (CbCR) Jurisdiction Status Table on 11 March 2025, confirming that the competent authority arrangement between the US and Bulgaria became operative on 9 September 2024. Country-by-Country
The draft law for Bulgaria's 2025 State Budget, published on 9 December 2024, introduces several amendments, including a requirement for businesses to submit standard audit files (SAF-T). This new rule will apply to most companies, with
Bulgarian Deputy Prime Minister and Minister of Finance, Lyudmila Petkova, signed an agreement in Brussels with Malta to avoid double taxation between the two countries on 10 December 2024. The Agreement was signed on the Maltese side by Clyde
