Corporate Taxation

Details on corporation tax and lump sum social security contributions...

Issues related to corporate taxation are regulated by the Corporate Income Tax Act and by the Conventions for the avoidance of double taxation.

The following types of income are subject to corporate taxation:

  • Annual profit of Bulgarian companies
  • The profit of foreign companies from a permanent establishment in the Republic of Bulgaria or from disposition of property of any such permanent establishment
  • Incomes (as specified in the Corporate Income Tax Act) of Bulgarian and foreign companies from a source in the Republic of Bulgaria
  • Expenses (as indicated in the Corporate Income Tax Act)
  • Other incomes specified by the law

Main taxable persons are:

  • Local companies (companies which are registered in Bulgaria/Bulgarian companies)
  • Foreign companies (companies, which are not registered in Bulgaria), which carry out economic activity in the Republic of Bulgaria through a permanent establishment in Republic of Bulgaria or which receive income from a source in the Republic of Bulgaria
Information supplied by Tax Com Ltd, 5 Nikola Vaptsarov Str., Floor 5, Office 501, Varna 9000 Tel: 052 712 381 / 052 712 382, Fax: 052 712 383 e-mail Website Managing Director: Mr Delyan Sarov