Tax and compliance in Bulgaria

How a business account intersects with tax in Bulgaria

Your business account is where income, expenses, payroll, and tax payments flow, so accurate records start there. The National Revenue Agency administers corporate income tax, VAT, and payroll taxes, and your bank statements support the figures you file. Keeping a clean separation between business and personal funds makes bookkeeping, VAT returns, and any review far simpler. As of 1 June 2026.

The main taxes

Corporate income tax is a flat 10 percent on company profit, one of the lowest headline rates in the European Union. VAT has a standard rate of 20 percent, with a reduced 9 percent rate on certain supplies such as hotel accommodation and some goods. A business must register for VAT once its taxable turnover passes the threshold, which is EUR 51,130 in a calendar year from 1 January 2026, and voluntary registration is also possible. Payroll attracts income tax and social security contributions. As of 1 June 2026. Verify current figures with the National Revenue Agency.

Reporting and the euro changeover

Banks in Bulgaria operate know your customer and anti money laundering rules and may report account information under the common reporting standard for tax residents of other countries. Since Bulgaria adopted the euro on 1 January 2026 at the fixed rate of 1.95583 lev to 1 euro, opening balances, accounting, invoices, and tax filings are handled in euro. Keep statements, invoices, and contracts so your filings can be supported. As of 1 June 2026.

What to check before you open one

When you think about tax and compliance alongside your Bulgarian business account, check these points, as of 1 June 2026. Verify with the provider

• Whether you must register for VAT, given the EUR 51,130 calendar year turnover threshold from 1 January 2026, and how often you must file returns.
• That business and personal money are kept in separate accounts, so income, expenses, and tax payments are clear in your statements.
• How your provider handles reporting and what records it can export, and whether you owe any reporting under the common reporting standard as a tax resident elsewhere.

How to keep your account ready for tax

1. Use a dedicated business account so income and expenses are separate from personal spending and easy to reconcile.
2. Track your taxable turnover against the VAT registration threshold and register on time, then file VAT and corporate tax returns as required.
3. Confirm your obligations with the National Revenue Agency or a qualified accountant, because tax rules and thresholds change and this page is information, not advice.