VAT Number in Bulgaria: how is it formed and how to obtain one

how to obtain a vat number in Bulgaria

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For those looking into company registration in Bulgaria or considering branching out into this potential market to take advantage of their many business opportunities and their low tax rate, getting a VAT number in Bulgaria is a must.

It is indeed compulsory for a company to apply for VAT registration before the start of the business activities. In some cases, foreign companies also need to obtain a Bulgarian VAT number. European-based companies do not need an appointed fiscal representative, a requirement that non-EU businesses do need.

We will discuss the different cases in which a VAT number In Bulgaria is required, as well as the exemptions and the steps to obtain one.

Who needs a VAT number in Bulgaria?

  • Local companies offering VAT-taxable goods and services,
  • Foreign companies offering VAT-taxable goods and services in Bulgaria,
  • Natural persons involved in VAT-taxable sale or purchase of goods/services within the EU.

Registering for a VAT number in Bulgaria is compulsory for all companies and tax liable persons that sell taxable products or services in the country reaching an annual limit of 100,000 BGN (about 51 thousand euros). Companies or taxable individuals that produce a lesser amount have the option to register for VAT.

The best course of action for a company or an individual is to find the perfect company advisor Bulgaria. It’s highly recommended to have an accountant in Bulgaria, to take care of the general bookkeeping of your company or business, but also to deal with VAT reports, and all your taxes needs.

If you’re looking for accounting services in Bulgaria, look no further than Accountancy Bulgaria, a reliable and highly experienced accounting agency that will take care of all your business’ needs. From company formation Bulgaria to tax consultancy, annual reports, payroll, and general accounting services. Accountancy Bulgaria offers a complete personalized service, tailored to the financial needs of your company. 

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How is the VAT number formed?

Once the application is approved, the company will receive a unique VAT number

All European Union countries have the same format for VAT numbers. In the case of Bulgaria, the VAT number will start with the country code (BG) and will be followed by an identification number, usually known as a Bulstat code. 

Register a foreign company for a VAT number

Foreign companies are allowed to register for VAT in Bulgaria, even without opening a company in Bulgaria. For those businesses involved in trading and going above the threshold of 100,000 BGN in a period of a year on VAT taxable products and services, the application must be presented within 14 days of the month when the limit has been exceeded.

When does a foreign company need a VAT number in Bulgaria?

Certain commercial activities require a VAT registration in Bulgaria, even as a foreign company:

–        Bringing products into Bulgaria,

–        Storing products for resale in Bulgaria for a period longer than three months,

–        The sale of products from Bulgaria to other European countries,

–        Event organization in Bulgaria,

–        Online selling (even from outside the country into Bulgaria).

We will further discuss the paperwork that is required to apply for a VAT number in Bulgaria. Once the company registers for a VAT number, it may take around 2 weeks to be completed.  

Obtain a VAT number in Bulgaria: step by step

The process of obtaining a VAT number in Bulgaria 2023 will be best handled by your lawyer or accounting service will lay out the needed documents to present in order to obtain a VAT number in Bulgaria and will follow up the process.

What goods and services are subject to VAT?

The VAT rate in Bulgaria is usually 20% and it applies to goods and services that are taxable, including importing goods from other European countries.

Certain services, like hotels and the touristic industry, have a reduced VAT of 9%.

And there is a zero VAT in place for international transport of goods and passengers.

There are also certain goods and services that are VAT exempt in Bulgaria:

–       Social security

–       Healthcare

–       Good related to religion or culture

–       Postal services

–       Gambling

–       Goods related to building


Obtaining a VAT number is a requirement in many cases, either local companies or foreign businesses operating within the scopes of the VAT taxation system in Bulgaria. 

Bulgaria, as part of the European Market, has a detailed regulation regarding VAT. Presentation of invoices, credit notes, foreign currency statements, etc. Engaging accountancy services Bulgaria is a must for the best outcome and to fulfill the necessary taxes requirements in Bulgaria.

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