Tax highlights in Bulgaria Bulgaria offers one of the best taxation systems within EU. The country as a member of the European Union applies a worldwide income tax system and residents are taxable on their worldwide income. Bulgarian companies are subject to a flat tax rate of 10% and the taxable profit is the annual financial…

Paying corporate tax in Bulgaria. Annual tax statement. According to the Bulgarian Corporate Income Tax Act (CITA) all companies and partnerships carrying out business in the country, are liable to a corporate income tax at a rate of 10%. The tax base for determining the corporate profit tax is the tax that is determined by…

Withholding taxes – Dividend tax in Bulgaria In theory, dividends are payments made by a corporate legal entity to its shareholders, which are usually distribution of profits. A corporation in Bulgaria has mainly 2 options: to reinvest the profits. Reinvested dividends are tax-exempt in Bulgaria. to distribute the profit to the shareholders. The dividends could…

Have you ever thought about Bulgarian tax residency? Have you ever considered to become a Bulgarian Tax Resident? Bulgaria applies a worldwide income tax system and residents are taxable on their worldwide income. Bulgaria levies a flat personal and corporate income tax rate of 10%. This could even be reduced to 5% and 0% by…