From 1 January 2026, all tax and social security payments in Bulgaria must be made in euros, following the country’s adoption of the currency. The National Revenue Agency has clarified reporting rules, automatic conversion of lev balances, and the new interest rates and social security thresholds, ensuring taxpayers are prepared for the transition.
Bulgaria’s National Revenue Agency (NRA) has issued detailed guidance, on 31 December 2025, on how taxpayers should handle tax and social security payments following the country’s adoption of the euro (EUR) from 1 January 2026, replacing the Bulgarian lev (BGN).
Payments in euros, even during dual circulation
Starting 1 January 2026, all public receivables collected by the NRA must be paid in euros. This applies even during the dual circulation period from 1 to 31 January 2026, when both the Bulgarian lev (BGN) and the euro are accepted in shops and banks. The reason is due to payments to the NRA being non-cash and must be processed in euros.
However, taxpayers can still pay in Bulgarian lev through banks or payment service providers. In such cases, the lev payment will automatically be converted to euros before it reaches the NRA.
Reporting periods and currency rules
The NRA guidance clarifies how declarations should be made during this transition:
- For periods up to 31 December 2025: Declarations must be in BGN, even if filed in 2026.
- For periods from 1 January 2026 onward: Declarations must be in euros, including those that overlap with the dual circulation period. Corrective declarations are also subject to the same rule.
- Outstanding liabilities and overpayments as of 31 December 2025: These amounts are automatically converted to euros in taxpayers’ accounts using the official exchange rate of 1 EUR = 1.95583 BGN, rounded to two decimal places.
Interest rates and social security contributions
The NRA has also provided details on interest and social security payments:
- Late payment interest: From 1 January 2026, the statutory interest rate is calculated as the European Central Bank (ECB) main refinancing rate + 8%. For the first half of 2026 (1 January – 30 June), this translates to 10.15% (2.15% ECB rate + 8%). The reference rate is updated twice a year, on 1 January and 1 July.
- Social security thresholds: Pending approval of the 2026 State Budget Law, the minimum and maximum monthly social security income are set at EUR 550.66 and EUR 2,111.64, respectively.
