Europe

Bulgaria

Key entity, tax, banking, visa, and compliance guidance for foreign founders incorporating in Bulgaria.

10%Corp Tax

VariesTimeline

100%Ownership

Foreign Ownership Eligibility

Bulgaria welcomes 100% foreign-owned companies

Fully remote formation — you never need to set foot in the country.

100% foreign ownership allowed — no restrictions on nationality
No residency requirement for shareholders or directors
Minimum capital: BGN 2 (~EUR 1.02) for OOD/EOOD, BGN 50,000 for AD
Formation handled via BRRA; remote setup possible
In-person bank visit typically required for foreign shareholders

Ownership

100% Foreign OK

Formation

100% Remote

Note

Non-EU nationals planning to work in Bulgaria require Business Residence Permit or Startup Visa.

Tax at a glance

Bulgaria Tax Overview

10%

Corporate Income Tax (CIT)

10%

Personal Income Tax (PIT)

Dividend withholding tax

10%

Capital gains tax (individuals)

20%

VAT (standard)

VAT (reduced)

~17.9%

Social security (employer)

~13.5%

Social security (employee)

Pros & cons

Advantages & Considerations

Key Advantages

10% CIT — LOWEST in European Union since 2007
10% PIT flat tax — simplest personal income tax system in EU
Full EU market access since 2007 — Single Market, free movement
Minimal capital requirement — BGN 2 (~EUR 1.02) for OOD/EOOD, among Europe's lowest
Fixed currency peg to EUR — BGN 1.95583 = EUR 1 since 1997, minimizes FX risk
Lowest operating costs in EU — 50–70% lower labor/office costs vs Western Europe
Strategic location — gateway to Turkey, Greece, Balkans, Black Sea region
Skilled multilingual workforce — English, German, Russian widely spoken in business
Fast company formation — 7–10 days for OOD/EOOD
60+ double taxation treaties — extensive network including US, UK, China, Singapore
Growing tech hub — Sofia emerging as 'Silicon Valley of Balkans', strong IT talent pool

Considerations

BGN currency (not Eurozone) — pegged to EUR but EUR adoption timeline unclear (deferred to 2025+)
Corruption perception — lower ranking on Transparency International CPI vs Western Europe
Bureaucratic inefficiency — slow government processes, frequent regulatory changes
Language barrier — Bulgarian language required for most official documents (Cyrillic script)
Brain drain — skilled workers emigrate to Western Europe for higher salaries
Limited international recognition — less known than neighboring Romania or Greece
Infrastructure gaps — outside Sofia, infrastructure development varies significantly
Judicial system delays — commercial dispute resolution and contract enforcement can be slow
Political instability — frequent government changes, policy uncertainty
Banking sector concerns — contributed to EUR adoption delays; account opening can be challenging for non-residents

Incorporation Process

The process is strictly digital. Each stage builds on the previous one.

Total Timeline

Name reservationStep 1

Draft Articles of AssociationStep 2

Notarization (if required)Step 3

Tax registration (NRA)Step 5

Social security (NOI)Step 6

Open bank accountStep 7

VAT registration (if applicable)Step 8

Name reservation

Draft Articles of Association

Notarization (if required)

Tax registration (NRA)

What you'll pay

Cost Architecture

Government Fees

Commercial Register fee~BGN 50–80 (~EUR 26–41)

Tax registration (NRA)~BGN 10–30 (~EUR 5–15)

Notary fees (if required)~BGN 50–150 (~EUR 26–77)

Share capital (OOD/EOOD)BGN 2 (~EUR 1.02)

Annual Ongoing

Annual accounting & tax filing~EUR 600–2,000/year

Statutory audit (if required)EUR 800–3,000+

Professional Services

Professional setup serviceBGN 500–1,500 (~EUR 256–767)

Bank account openingBGN 0–100 (~EUR 0–51)

Total formation: BGN 612–1,862 (~EUR 313–952). Exchange rate: BGN 1.95583 = EUR 1 (fixed peg).

Still unsure about costs?

These are estimates — your actual cost depends on your structure

Every Bulgaria setup is different. A 15-minute call with one of our specialists will give you a personalised cost breakdown — completely free.

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Fintech & Banking

Can non-residents open accounts without visiting? YES.

Banking options for non-resident founders in Bulgaria. Remote account opening availability varies by institution.

Institution	Type	Ease for Non-Residents	Notes
UniCredit Bulbank	Traditional bank	Low (Visit Required)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
DSK Bank	Traditional bank	Low (Visit Required)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
First Investment Bank (Fibank)	Traditional bank	Low (Visit Required)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
United Bulgarian Bank (UBB)	Traditional bank	Low (Visit Required)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
Raiffeisenbank Bulgaria	Traditional bank	Low (Visit Required)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
Revolut Business	Fintech	High (Remote)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.
Wise Business	Fintech	High (Remote)	3–7 days (after registration) • BGN 10–50/month (~EUR 5–26) • BGN 0–500 (varies; most commercial accounts no strict minimum) • Certificate of incorporation (Commercial Register), Articles, Tax ID (BULSTAT), director/shareholder ID/passport, proof of address • All major banks offer online/mobile banking. English language support available.

Regulatory requirements

Annual Compliance Matrix

Requirement	Deadline	Details
Annual financial statements	Ongoing	File with NRA and Commercial Register within 3 months of fiscal year-end (March 31 for calendar-year companies).
Corporate tax return	Ongoing	Within 3 months of fiscal year-end.
Quarterly CIT returns	Ongoing	Advance installments based on prior year tax (due by end of each quarter).
VAT returns	Ongoing	Monthly (if registered). Deadline: 14th of following month.
Annual General Meeting (AGM)	Ongoing	Within 6 months of fiscal year-end. Shareholders approve financial statements.
Statutory audit	Ongoing	Mandatory if 2 of 3 criteria exceeded: assets > BGN 2M, revenue > BGN 4M, employees > 50.
Social security filings	Ongoing	Monthly declarations to NOI by 10th of following month.
Commercial Register updates	Ongoing	Notify BRRA of changes (directors, address, capital) within required period.

Frequently Asked

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