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🇧🇬 Taxes · Bulgaria

Taxes in Bulgaria

A flat personal income tax of 10%, VAT of 20% and the rules for taxing property - what you need to know before you move or buy.

Free consultationAdvice on your case
10%personal income tax
20%VAT
0.01-0.45%property tax

Bulgaria has one of the lowest personal income taxes in Europe: a flat rate of 10%. Companies pay corporate tax on their worldwide income, and property is taxed at separate rates.

Personal income tax

The rate is a flat 10%. Tax residents pay tax on their worldwide income, non-residents only on income from Bulgarian sources.

Taxes for companies

Bulgarian companies pay corporate tax on their worldwide income, foreign companies only on income from Bulgarian sources. Capital gains tax is included in the general corporate tax rate.

VAT

The standard rate is 20%. A reduced rate of 9% applies to certain goods and services.

Social contributions

  • Pension contributions for employees - 10.58%
  • Health insurance - 3.2% for the employee

Property taxes

Property tax runs from 0.01% to 0.45%. Property transfer tax runs from 0.1% to 3%.

Your exact tax burden depends on your status and your sources of income - we will go through it on a free consultation.

FAQ

What is the personal income tax rate in Bulgaria?
A flat 10% for residents and non-residents (non-residents pay only on income from Bulgarian sources).
What is the VAT rate in Bulgaria?
20%, with a reduced rate of 9% for certain goods and services.
How much is property tax?
From 0.01% to 0.45% of the value of the property.
What tax do you pay when buying property?
Property transfer tax, from 0.1% to 3%.

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