Individuals are taxed in Bulgaria based on their tax residency status. Bulgarian tax residents are taxed on their worldwide income. Non-residents are taxed in Bulgaria only on their Bulgarian-source income, which has a very broad legal definition. Generally, this is all income derived as a result of economic activities performed in the territory of Bulgaria or as a result of disposal of property in Bulgaria.Any income derived as a result of employment or of rendering services in the territory of Bulgaria is deemed Bulgarian-source income, regardless of from where or by whom it is paid.Rental income or income from disposal of real estate property located in Bulgaria is considered Bulgarian-source income.
A flat tax rate of 10% applies to all personal income, with some exceptions.
Last Reviewed - 10 June 2019