Bulgaria

Individual - Other taxes

Last reviewed - 04 February 2020

National insurance contributions

National insurance contributions include social security and health insurance contributions.

The aggregate rate of social security contributions is 24.7% to 25.4%*, of which 14.12% to 14.82%* is payable by the employer and 10.58% is payable by the employee.

The aggregate rate of health insurance contributions is 8%, of which 4.8% is payable by the employer and 3.2% is payable by the employee.

The total national insurance contribution rate (social security and health insurance) is 32.7% to 33.4%*, of which 18.92% to 19.62%* is payable by the employer and 13.78% is payable by the employee.

The above rates are applicable to Bulgarian nationals, as well as to European Union (EU)/European Economic Area (EEA) nationals who are subject to Bulgarian social security contributions (i.e. who have not obtained a E101/A1 certificate of coverage issued from their home country social security authorities). Non-EU/EEA nationals are also subject to these contributions under certain conditions, except for health insurance contributions. If they have a permanent residence permit for Bulgaria, they will be subject to health insurance contributions too.

The minimum monthly insurance base for freelancers is BGN 610 for 2020. The maximum monthly insurance base for freelancers is BGN 3,000 for 2020.

For individuals working under employment agreements or as managers or controllers of companies, the minimum insurance base depends on the economic activity of the insurer as well as on the profession and grade of the insured person. The minimum base varies between BGN 610and BGN 1,763. The maximum monthly insurance base is limited to BGN 3,000.

* The range is due to the rate of contributions payable to the ‘Accident at Work and Occupational Illness Fund’, which is due only by the employer and can vary from 0.4% to 1.1% depending on one’s economic activity. The rate for the administration and services sector is 0.5%.

Consumption taxes

Value-added tax (VAT)

The standard VAT rate is 20%. See the Other taxes section in the Corporate summary for more information.

Net wealth/worth taxes

There are no net wealth/worth taxes in Bulgaria.

Property taxes

The annual property tax rate is determined by each municipality and ranges from 0.01% to 0.45% of the tax value of property. See the Other taxes section in the Corporate summary for more information.