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VAT in Bulgaria

VAT Guide for EU countries within Europe

VAT in Bulgaria

Whether you’re a European or non-European company, establishing certain activities in Bulgaria may mean you need to register for VAT. You can use a fiscal representative or tax advisor to draw up your VAT, Intrastat and ESL returns with total peace of mind in Bulgaria.

If you deal with companies in Bulgaria, you may be able to claim a Bulgarian VAT refund.

Here you can find the specifics of VAT regulations in Bulgaria, which work alongside the harmonised framework of the EU as explained in our guide to intra-Community VAT obligations.

Basic information

EU membership 2007
ISO code BG
VAT introduced in Bulgaria 1994
VAT name in Bulgaria Danak varhu dobavenata stoinost (DDS)
VAT ID format in Bulgaria BG999999999 / BG9999999999
Territories with special status in Bulgaria n/a

VAT rates in Bulgaria

Standard VAT rate 20 %
Reduced VAT rate (1) 9 %
Reduced VAT rate (2) n/a
Super reduced VAT rate n/a
VAT parking rate n/a
Zero VAT rate no

Thresholds triggering VAT reporting obligations in Bulgaria

Intrastat threshold at introduction 430 000 BGN (+/- 219 300 EUR)
Intrastat threshold on dispatch 270 000 BGN (+/- 137 700 EUR)
Distance selling threshold As of 1st July 2021, the threshold is EUR 10,000 for all intra-Community distance sales.

Reporting frequency in Bulgaria

Intrastat declaration monthly depending on threshold
EC Sales List (ESL) declaration monthly
VAT returns monthly, quarterly depending on threshold/for certain services
Reporting currency BGN

VAT-related penalties in Bulgaria

Failure to file a VAT return Penalty of from BGN 500 (approximately EUR 255) to BGN 10,000 (approximately EUR 5,113)
Late payment of VAT Penalty of 5% of the amount of VAT due, with a minimum of BGN 200 (about EUR 102) or BGN 400 (about 205) in case of repeated offence. If the VAT due is paid between 6 and 18 months: 10% of the amount of the VAT with a minimum of BGN 400 (about EUR 205) or BGN 800 (about EUR 409) in case of repeated offence.
Failure to report ESL/DEB Penalty from BGN 500 (about EUR 255) to BGN 500 (about EUR 2,556)

Useful links on VAT in Bulgaria

Tax Authorities in Bulgaria Tax authorities
Ministry of Finance in Bulgaria Ministry of Finance
Check a VAT number in Bulgaria Check a VAT number
EU VAT Guide EU VAT Guide
Bulgaria joined the European Union in 2007and is still the poorest country in the EU.
The main sources of economic income and growth are the energy industry, mining, light industry and tourism.

Bulgarian VAT legislation is detailed in the Value Added Tax Act 2006 (Zakon za Danak varhu Dobawenata Stoinost).

Any person established in another Member State and not established in Bulgaria who makes taxable deliveries with installation or assembly is required to be register for VAT, unless the recipient is registered for VAT.

The current VAT rates in Bulgaria are as follows:

  • Standard VAT rate: 20 %
  • Reduced VAT rate (1): 9 %
  • Reduced VAT rate (2): n/a
  • Super reduced VAT rate: n/a
  • VAT parking rate: n/a
  • Zero VAT rate no

Certain transactions in Europe may require registering for VAT and filingVAT returns in Bulgaria:

To check if your activities involve VAT obligations in Bulgaria, use our VAT simulator or contact us.

When do e-traders need to register for VAT in Bulgaria?

In Bulgaria just like in other European Union countries, e-traders must register for VAT:

  • when the overall threshold of EUR 10,000 for Intra-Community distance selling is exceeded and they have not opted to pay the VAT in Bulgaria via the One Stop Shop,
  • or when they hold a stock of goods in Bulgaria and must report the stock supply transactions.

What are the VAT obligations for e-traders in Bulgaria ?

In addition to VAT registration, e-traders must:

  • Apply the defined VAT ratesin Bulgaria: standard rate (20 %), reduced rates 1 and 2 (9 % and n/a).
  • Declare stock transfers between marketplaces‘ storage platforms, as well as the supply translactions for these stocks.
  • File periodic returns (VAT returns, intrastat, ESL), to ensure their VAT compliance in Bulgaria.

> Learn more about the VAT & e-commerce regulations and the VAT regime for logistics platforms in Europe.

Why identify yourself to VAT in Bulgaria?

You may need a VAT number in Bulgaria to fulfil your tax obligations in this country. Indeed, certain activities such as sales, purchases and subcontracting operations may require VAT identification. To check if your activities require VAT identification in Bulgaria, use our VAT simulator or contact us.

VAT Bulgarian is named Danak varhu dobavenata stoinost (DDS)and the VAT numbers in Bulgaria have the following structure: BG999999999 / BG9999999999.

How do I get a VAT number in Bulgaria?

The administrations in charge of in Bulgaria VAT are the following: Tax authorities, Ministry of Finance.

Registering for VATis a relatively simple formality compared to setting up a company, but in addition to obtaining a VAT number in Bulgariayou’ll need to file periodic VAT returns to ensure your VAT compliance. Which is why we recommend foreign companies use a fiscal representative or tax advisor.

Companies with a VAT number in Bulgaria must complete and submit VAT returns in Bulgaria detailing all taxable income (sales) and expenses (costs), with the following periodicity: monthly, quarterly depending on threshold/for certain services.

Failure to comply with the deadlines imposed by the Bulgarian authorities for the deposit and payment of VAT will result in the payment of penalties . For this reason, it is recommended that foreign companies use the services of an agent or a tax representative.

These penalties are defined as follows in Bulgaria:

  • Penalties for failure to file a VAT return in Bulgaria: Penalty of from BGN 500 (approximately EUR 255) to BGN 10,000 (approximately EUR 5,113)
  • Penalties for late payment of VAT in Bulgaria: Penalty of 5% of the amount of VAT due, with a minimum of BGN 200 (about EUR 102) or BGN 400 (about 205) in case of repeated offence. If the VAT due is paid between 6 and 18 months: 10% of the amount of the VAT with a minimum of BGN 400 (about EUR 205) or BGN 800 (about EUR 409) in case of repeated offence.

In addition to VAT returns, companies may be required to provide the Bulgarian authorities with Intrastat & EC Sales List returns:

  • Intrastat returns enable the Bulgarian authorities to compile foreign trade statistics.
    Companies must file these Intrastat returns as soon their turnover reaches the threshold.
    Intrastat threshold at introductio n in Bulgaria (430 000 BGN (+/- 219 300 EUR) HT/an)
    – Intrastat threshold on dispatch in Bulgaria (270 000 BGN (+/- 137 700 EUR) HT/an).
    Failure to comply with the deadlines imposed by the Bulgarian authorities for the filing of these Intrastat returns wil incur a penalty payment for the company.
  • The sales summary returns (EC Sales List or ESL) or purchases (EC Purchases List or EPL) in Bulgaria are for tax purposes.
    Failure to comply with the deadlines imposed by the Bulgarian authorities for the filing of these ESL returns wil incur a penalty payment for the company.

In principle, a non-resident company in Bulgaria can recover all or part of the VAT incurred on its expenses.

There are three different scenarios:

  • The company, whether it is established within the European Union or not, is already registered for VAT in Bulgaria, or is obliged to register for VAT in Bulgaria. In this case, it must apply for a VAT refund via the periodic VAT return filed in Bulgaria, according to a periodicity:monthly, quarterly depending on threshold/for certain services.
  • The company is established within the European Union, is not registered for VAT in Bulgaria and is not required to do so. In this case, a VAT refund should be requested via the tax authorities’ electronic portal in the country where the company is established.
  • The company is not established within the European Union and is not required to register for VAT in Bulgaria. In this case, they must use the services of a fiscal representative to carry out what is required by the Bulgarian authorities on their behalf.
    > Learn more about our VAT recovery services.


*This information is subject to change without notice.

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