A 5% withholding tax is levied on dividends and distributions arising on the liquidation of resident companies to foreign legal entities, except where the dividends are realised by a permanent establishment in Bulgaria. Dividends and similar distributions are exempt from withholding tax where paid to companies and other legal entities [...]
FOREIGN TAX RELIEF Tax credits are available with respect to foreign tax paid on overseas income by resident individuals. The credit is limited to the amount of the Bulgarian corporation tax and income tax payable on that income. If Bulgaria has signed a double taxation treaty with the country where [...]
DEPRECIATION Tax deductible depreciation is available on all assets costing over BGN 700 used in the enterprise concerned for more than one accounting period. The applicable rate varies according to the type of asset from 4% (for buildings, equipment, transmission devices, energy carriers, communication lines) up to 50% (for computers [...]
FEDERAL TAXES AND LEVIES As a result of the accession of Bulgaria into the EU on 1 January 2007, new tax laws have been introduced in order to harmonise domestic legislation with EU Directives. COMPANY TAX The income tax of companies registered in Bulgaria is dependent on the nature oftheir [...]
Promulgated, State Gazette - No. 94/30.11.2010, effective 1.01.2011 PART ONE GENERAL DISPOSITIONS Purpose of Act Article 1. This Act regulates the levy of value added tax (VAT). Subject to Taxation Article 2. The following shall be subject to value added tax: 1. each taxable supply of goods or services effected [...]
