Sofia ranks 4th in cost effectiveness among large cities worldwide according to FDi Intelligence Global Cities of the Fututre 2018 ranking. With EUR 1.54, Bulgaria has the lowest total employer cost per EUR 1.00 of net salary in the EU.

Taxes & Fees

Business Taxes

10% 

corporate tax & personal income tax

20%

value-added tax (VAT)

18.92%

employer social security contribution

Property Taxes

0.1875% 

property tax

1.6‰  

waste collection tax for residential
buildings (on the taxable value)

10‰  

waste collection tax for non-residential
buildings (on the book value)

2.5%

real estate transfer tax

Vehicle Taxes

16 – 1313 BGN 

annual vehicle tax,
depending on vehicle type

97 – 2088 BGN 

annual vignette,
depending on vehicle type

Where are taxes paid?

State taxes are administered by the National Revenue Agency (NRA). These include:

Corporate Income Tax         Social Security

Corporate Taxes                    Value Added Tax

 

Local taxes include:

Real Estate Tax                     Patent Tax

Waste Collection Tax           Tourist Tax

Inheritance Tax                     Vehicle Tax

Donation Tax                         Tax for Dog Ownership

Taxes for Administrative Services

Tax for the Acquisition of Property For Consideration

 

Local taxes are collected on local level. They can be transferred to or paid cash at any revenue branch of Sofia Municipality. Here you can see the list of revenue branches and their bank accounts as well as the code for payment type you should fill in the payment order. The branches’ opening time is 8:30 to 17:00.

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