VAT in Bulgaria in 2026: the €51,130 threshold, 7-day registration and the monthly routine
Since 1 January 2026, VAT registration in Bulgaria works differently: the threshold is in euro, it is measured per calendar year and you have just 7 days to apply. Here is what every business owner needs to know — and how to turn VAT into a predictable monthly routine.
- The mandatory registration threshold is €51,130 of taxable turnover in the current calendar year.
- You must apply within 7 days of crossing it, and registration applies from the following day.
- The VAT return and ledgers are due by the 14th of the following month, together with any VAT payable.
- Most problems come from late documents and missing bank reconciliations, not from complex transactions.
What changed on 1 January 2026
The changes to Bulgaria's VAT Act that came with the euro are not just a currency conversion. The threshold, the period it covers, the deadline and even the date registration takes effect have all changed.
| Until the end of 2025 | From 2026 | |
|---|---|---|
| Threshold | BGN 100,000 | €51,130 |
| Period | the last 12 consecutive months | the current calendar year (and the previous one) |
| Deadline to apply | 7 days after the end of the month in which the threshold was reached | 7 days from the day it is exceeded |
| Registration effective from | service of the NRA's decision | the day after the threshold is exceeded |
In practice you can no longer "wait for the month to end". One large invoice in the middle of a month can oblige you to apply within a week — and to charge VAT from the very next day.
What counts towards turnover
Taxable turnover is the total of your supplies excluding VAT. From 2026 the definition is broader:
- Included: taxable supplies of goods and services (including zero-rated ones), exempt supplies with the right to deduct, financial and insurance services, and exempt supplies of real estate.
- Excluded: sales of your own fixed assets used in the business, and incidental supplies that are not part of your normal activity.
If you are unsure how a particular deal is treated, check before you invoice it. Our VAT threshold checker shows in seconds how much headroom you have and when you will reach the threshold at your current pace.
Mandatory or voluntary registration
VAT registration is not just an obligation — sometimes it is a strategic choice.
- It usually pays off when your clients are VAT-registered businesses (they recover the VAT), when you export, when you are making large investments that carry VAT (equipment, fit-out, business vehicles) or when you work with foreign companies that expect a VAT number.
- It hurts when you sell mainly to consumers. Example: a €100 service sold to a consumer becomes either €120 after registration, or your revenue falls to €83.33 net — about 16.7% less at the same final price.
If you were registered because you exceeded the threshold in 2025, you cannot deregister voluntarily until the end of 2026. Think about your pricing before you register.
What happens after registration
- Invoices with VAT from the registration date. For supplies made after that date you have 5 days to issue or correct invoices with VAT charged.
- Input VAT on stock. Under certain conditions you can deduct VAT on goods and assets you hold on the registration date.
- Monthly returns. Ledgers and the VAT return are filed every month — even with no transactions.
- Your VAT number everywhere. It must appear on invoices, contracts and your online shop.
The monthly VAT routine
VAT is easiest when it is a rhythm, not an emergency. This is the system we use with our clients:
| When | What |
|---|---|
| By the 5th | All documents for the previous month are in: invoices, credit notes, bank statements, platform reports. |
| 5th–10th | Invoice checks (required details, date, rate, legal basis) and reconciliation: bank ↔ invoices ↔ cash ↔ platforms. |
| By the 12th | VAT payable or refundable is estimated — you receive the amount in advance. |
| By the 14th | Ledgers, VAT return and VIES return (for EU transactions) filed; VAT paid. |
| After the 14th | The month is "locked" — late documents go into the current period under the rules, not as corrections to past months. |
The most common mistakes
- Late documents. An invoice that arrives after filing means corrections and needless risk.
- Credit notes not linked to a sale. Every credit note must reference a specific invoice.
- Costs with no clear business link. Input VAT can only be deducted on supplies used for taxable transactions.
- Forgotten reverse charge. For services from EU suppliers (advertising, software, hosting) you usually self-assess VAT through a protocol.
- Wrong tax-event date. Invoices are due within 5 days of the supply or of receiving an advance — not "whenever the client asks".
EU transactions: what not to miss
- Check your client's VAT number in VIES before invoicing without VAT.
- B2B services to EU businesses are usually reverse-charged — the invoice states the legal basis and the supply goes into your VIES return.
- Distance sales to EU consumers above €10,000 a year in total are taxed at the VAT rate of the customer's country — easiest via the OSS scheme.
- New EU SME scheme: from 2026 businesses with EU turnover under €100,000 can apply the exemption in other member states, using an ID with the suffix "EX" and filing quarterly reports.
Owner's checklist
- Do you know your turnover since 1 January — and how far you are from €51,130?
- Is there a fixed monthly deadline for sending documents?
- Do you get a VAT estimate at least 2–3 days before the 14th?
- Is every credit note linked to a specific invoice?
- Has the VAT treatment of your cross-border deals been checked?
- Do you keep contracts and delivery protocols for larger services?
Frequently asked questions
Can I register for VAT voluntarily below the threshold?
Yes. Voluntary registration is possible at any time and often makes sense if your clients are VAT-registered businesses, if you export or if you are making large investments.
What happens if I register late?
The NRA can register you ex officio and impose a penalty. You also owe VAT on supplies made after the date you should have been registered — even if you did not charge it to your customers.
When is the VAT return due in Bulgaria?
By the 14th of the month following the tax period, together with payment of any VAT due. If the 14th falls on a non-working day, the deadline moves to the next working day.
Do I owe VAT if the customer hasn't paid yet?
Under the general rule, yes: VAT becomes chargeable on the tax event, regardless of payment. Under certain conditions small businesses can use the special cash-accounting scheme.
