Why in Bulgaria
Political and business stabilityBulgaria is a member of the European Union, NATO and WTO.
The stability of the currency is supported by the currency board, pegging the Bulgarian lev to the euro at the level of 1.96.
Bulgaria has the second-lowest government debt in the European Union (17.0 % of GDP) and one of the lowest budget deficits (2.1%) as of 2011.
Low cost of doing businessBulgaria has the most favourable tax regime in Europe. Corporate income tax rate is 10%, the lowest in the EU together with Cyprus. Personal income tax is 10 %, flat rate. Industries in high-unemployment areas are granted 0% tax rate.
There is a 2-year VAT exemption for imports of equipment for investment projects over €5 million, creating at least 50 jobs.
Depreciation time for computers and new manufacturing equipment is 2 years.
5% withholding tax on dividends and liquidation quotas (0% for EU tax residents).
Bulgaria has one of the most competitive costs of labor in Central and Eastern Europe.
Favorable office rents and low cost of utilities. Bulgarian cost of electricity for industrial users is 70% of the European average.
We present the benefits for setting-up business in Bulgaria
- Low taxation of individuals 10% (Flat Tax)
- Corporate tax 10% (Flat Tax)
- 5% tax on dividends
- VAT 20%
- Minimum required capital for investment is 2 lev = 1 Euro.
- Tax refund within 30 days.
- 0% tax in parts of Bulgaria with high unemployment.
- 0% tax on intra-Community transactions.
- Stable banking system.
- Signing international agreements to avoid the double taxation which exists in most EU countries.
- Avoid complicated tax systems.
- Bulgarian invoices are recognized across Europe.
- Multiple use of the company's activity.
- Short distance from important trading paths as Greece, Romania and Turkey.
- Low insurance contributions.
- Low accounting cost.
- Low labour costs.
- Perfect use for e-shops and products for imports - exports within the European Union.
- 2 years VAT exemption for equipment imports and approved investment plans for over 5 million Euros, creating at least 50 jobs.
- Tax depreciation in 2 years for buying new computers and production equipment.