Bulgarian taxes in 2026 at a glance: a quick reference for business owners
Every key rate, threshold and deadline for 2026 on one page — for quick reference when you plan, hire or pay out profit in Bulgaria.
- Corporate tax 10%, dividend tax 5%, personal income tax 10% flat.
- VAT 20%; mandatory registration threshold €51,130 per calendar year.
- Minimum wage €620.20; maximum insurable income €2,300 from 1 August 2026.
- All taxes and contributions are declared and paid in euro.
Taxes on companies
| Tax | 2026 rate |
|---|---|
| Corporate income tax | 10% of taxable profit |
| Dividend withholding tax (withheld by the company) | 5% |
| Tax on expenses (entertainment, private use of assets, etc.) | 10% |
| Withholding tax on payments to non-residents (interest, royalties, some services) | 10%, reducible under tax treaties |
| Advance corporate tax | monthly or quarterly, depending on company size |
Taxes on individuals and owners
| Income | Taxation |
|---|---|
| Salary | 10% on gross pay minus employee contributions |
| Freelancer | 10% on income after a 25% statutory cost allowance |
| Sole trader | 15% on taxable profit |
| Dividend | 5% final tax |
VAT
| Item | 2026 |
|---|---|
| Standard rate | 20% |
| Mandatory registration threshold | €51,130 per calendar year |
| Deadline to apply | 7 days from crossing the threshold |
| Distance-selling threshold to EU consumers | €10,000 a year in total |
| EU SME scheme | EU turnover up to €100,000 |
| VAT return and payment | by the 14th of the following month |
Check your headroom with the VAT threshold checker.
Payroll and social security
| Item | 2026 |
|---|---|
| Minimum monthly wage | €620.20 |
| Maximum insurable income | €2,111.64 until 31 Jul · €2,300 from 1 Aug 2026 |
| Employee contributions | 13.78% |
| Employer contributions | 18.52% + work-accident rate (0.4–1.1%) |
| Minimum income for the self-employed | €550.66 until 31 Jul · €620.20 from 1 Aug 2026 |
| Payroll contributions and tax due | by the 25th of the following month |
Work out a specific salary with the gross ↔ net calculator.
Key annual deadlines
- 31 March — 5% discount on the Art. 50 PITA personal return filed and paid online (up to €255.65 for sole traders and freelancers).
- 30 April — personal income tax return and payment.
- 30 June — corporate tax return and payment; dormant company declaration.
- 30 September — 2025 financial statements published in the Commercial Register.
- 31 December 2026 — final deadline for converting share capital to euro.
Every deadline for the next 12 months, adjusted for public holidays, is in the Bulgarian tax calendar.
What changed in 2026
- The euro became the official currency — all taxes are declared and paid in euro.
- The VAT threshold became €51,130 per calendar year, with a 7-day deadline.
- The maximum insurable income rose to €2,300 from 1 August.
- Dividend tax stayed at 5% — the proposed increase was not adopted.
- The Standard Audit File for Tax (SAF-T) became mandatory for the largest companies.
What's coming in 2027
- Length of service will be calculated in hours from 1 January 2027.
- SAF-T extends to the next group of companies.
- The 2027 minimum wage has not yet been set.
Frequently asked questions
What is the corporate tax rate in Bulgaria?
10% of taxable profit — one of the lowest rates in the EU.
What is the dividend tax in Bulgaria in 2026?
5% for dividends paid to individuals and to foreign legal entities, with exemptions or reductions available under tax treaties or EU rules.
What is the income tax rate in Bulgaria?
A flat 10% for employment income, freelancers and most other income. Sole traders pay 15% on their taxable profit.
When are taxes paid?
VAT by the 14th of each month; payroll contributions and tax by the 25th; annual corporate tax by 30 June. See every date in the tax calendar.
