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Taxation Bulgaria. Company registrations in Bulgaria for 450 EUR Total Cash Out @ “0” Registration services fee.
Taxation in Bulgaria
Taxation Bulgaria. Corporate tax. Flat tax rate 10%. Best price in Bulgaria.
The basic principles for the taxation of business profits, you can find in the Corporate Income Tax Act. The current taxes and levies imposed by the the Corporate Income Tax Act are:
- corporate income tax
- lump sum tax levied on certain types of expenses accrued by local tax residents
- withholding tax.
Taxation Bulgaria. Company registrations in Bulgaria for 450 EUR Total Cash Out @ “0” Consultancy fees. 82 EUR monthly accounting fee.
Most of all, corporate entities incorporated under the Bulgarian Commercial Act define Bulgarian tax residents. so Hence, upon registration in Bulgaria, these legal entities are subject to tax on their worldwide income. Regardless of whether or not it is generated in Bulgaria. yet Also, there is no withholding tax or income tax on undistributed profits.
and Taxation Bulgaria. yet Capital gains and losses
Most of all, for capital gains in an entity’s profit subject to corporate income tax, except in the following cases, entities have to follow:
- Capital gains, non-resident taxpayers realize from the sale of real estate property situated in Bulgaria or from the sale of shares are subject to a 10-percent withholding tax
- Liquidation proceeds, non-resident taxpayers and local individuals earn, exceeding the value of their initial investment. Zero tax rate for residents of EU/EEA Member States or 5 percent for all other non-residents;
while Taxation Bulgaria. also Dividends and liquidation quotas
Most of all, dividends and liquidation quotas, local legal entities distribute also local unincorporated entities and foreign persons, in this case due a 5-percent withholding tax.
so No withholding tax is due in Bulgaria on liquidation quotas and outbound dividends, Bulgarian entities distribute. yet Also for those tax resident companies in the EU/EEA without any participation or holding requirements. Except for cases of hidden profit distribution.
soTaxation Bulgaria. Value added tax
Generally, VAT is due on any supply of goods or services with a place of supply in Bulgaria made by taxable persons in the course of their economic activities. “Supply” normally means goods or services, entities provide in exchange for consideration. Much as, certain transactions, entities carry out for no consideration are also considered to be supplies, for example, the private use of business assets.
The following transactions are generally subject to Bulgarian VAT:
- supply of goods or services with a place of supply in Bulgaria
- intra – Community acquisition of goods
- import of goods into Bulgaria.
- Tax regime and place of supply of goods
The location of goods at the time of the supply determines the VAT treatment. For the goods, entities keep in Bulgaria, for their supply to location in Bulgaria, entities have to pay 20 percent Bulgarian VAT.
Taxation Bulgaria. VAT rates
The standard rate of VAT, which applies to most taxable supplies, is 20 percent. Two reduced rates, entities apply for specific supplies.
9-percent VAT rate
A reduced rate of 9 percent applies to accommodation in hotels, sheltered housing and other places for accommodation.
Mandatory VAT registration for local supplies
Mandatory VAT registration applies for taxable persons, local or foreign . who perform taxable supplies with place of supply in Bulgaria. When turnover exceeds the registration threshold of BGN 50,000 for a period of 12 consecutive months. Then VAT registration is mandatory. Also, zero-rated supplies count toward the VAT registration threshold. The taxable person must complete an application for registration 14 days. so From the end of the tax period when the registration threshold was reached.
Mandatory VAT registration for providing/receiving of services
Subject to mandatory VAT registration are all taxable persons. They have to receive receive services from suppliers established abroad. Either provide B2B services to another EU Member State. Taxable person fills in a claim for VAT registration with the revenue authorities not later than 7 days before the tax on the supply becomes due.
so The registration for providing/receiving services is a specific registration which does not entitle the taxpayer to deduct input VAT.
Deregistration furthermore
and Voluntary terminate registration when: during the last 12 consecutive months before the current month. The taxable turnover of the registered person does not exceed BGN 50,000. so Also, voluntarily registered persons cannot apply for de-registration before the expiration of 24 months from the beginning of the calendar year following the year of registration much as …
VAT returns above all
so Each VAT registered person submits VAT returns, purchase and sales ledgers. and The tax period under the Bulgarian VAT Act is the calendar month mostly …..
yet Taxable person prepares the VAT return on the basis of the information from the purchase and sales ledgers for the respective month. so The deadline for submission of the VAT return and ledgers is the 14th day of the month following the reference tax period. Relevant important: accountant submit the VAT records electronically with a qualifying electronic signature and …. http://www.accounting-bulgaria.eu/en/payroll/
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