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Pursuant to Regulation No.55 of 30 March 2020 of the Council of Ministers for terms and procedure for payment of compensations to employers, compensations can be paid for the period of state of emergency, but for not more than 3 months, to:

- An employer which with its order has ceased the work of business, part ceasing of the business or of separate employees;

- An employer which with its order has established part-time work where the compensation is paid pro-rata to the off-hours, but for not more than 4 hours a day.

The compensations are 60% of each employee’s social security income for January 2020, along with the due social security benefits, with the condition that the employee will continue working for such period, equal to the period of payment the compensations.

Terms of application:  

- The employers should be local natural or legal persons, as well as foreign legal entities with business in the Republic of Bulgaria; 

- The employers should perform the following economic activities: passenger land and air transport; hotel industry; restaurants and fast food establishments; drinking establishments; films screening; travel agency and operator activity; organization of congresses and trade fairs; pre-school education (private sector); artistic and creative activity; other cultural activities; sports and other activities related to entertainment and recreation; maintaining good physical condition.

- Lack of duties for taxes and social security benefits.

- Employers have not been declared bankrupt or are not in insolvency or liquidation proceedings.

- The employees’ employment contracts should not be terminated on the grounds of article 328, par.1, it.2,3 and 4 of the Labour Code during the period of payment the compensations.

Employers from all sectors of the Classification of Economic Activities (NACE Rev.2) (КИД–2008), excluding sectors A,K,O, P, Q, T and U and the above mentioned economic activities, are eligible to compensations if meet the above mentioned criteria and have declared reduction of the sales incomes:

- for the persons, registered before 1 March 2019 – not less than 20% in the month, preceding the month of submission the application for payment of compensations, compared to the same month of the previous calendar year;

- for the persons, registered after 1 March 2019 – not less than 20% in the month, preceding the month of submission the application for payment of compensations, compared to the average incomes for January and February 2020.

Act on Measures and Actions during a State of Emergency, declared in Republic of Bulgaria with a decision of the National Assembly on 13 March 2020, has been promulgated today (24 March 2020) in the State Gazette.

Some tax deadlines have been postponed under this act, as: 

Submission of the 2019 annual tax declarations and payment of the corporate tax under them by 30 June 2020. 

The deadline for submission of the 2019 annual tax declarations by natural persons (self-employed) who are not sole traders, including the payment of taxes, remains unchanged - by 30 April 2020.

Declarations for companies with no activity in 2019 under article 38, paragraph 9, item 2 of the Law On Accounting, should be submitted in the Commercial register by 30 June 2020. 

The companies' 2019 financial statements, should be submitted in the Commercial register by 30 September 2020.  

Other measures: 

The validity of the documents for long-term and permanent residence of EU citizens, including citizens of the United Kingdom, which expire in the period March – October 2020, will be extended for 6 months. For the period of extension, the documents are considered valid on the territory of Bulgaria and certify the right of residence. At the request of the person, a new residence document may be issued before the expiry of the extended 6-month period.

To the Bulgarian Ministry Of Interior's link:

https://www.mvr.bg/en/about-the-ministry/brexit/in...

A company, established in Bulgaria and with no activity during the previous financial year, should submit in the Commercial Register by 31 March of the following year, a declaration under article 38, paragraph 9, item 2 of the Law On Accounting in a form, approved by the Bulgarian Minister of Finance: 

https://www.minfin.bg/upload/43214/Prilojenie%20za...

There is no state fee for submission. 

For further information and assistance with the submission of your declaration, please contact us on the following email address:

mail@bojovlaw.com

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From 1 January 2018, a register of non-profit organisations, part of the Registry Agency at the Ministry of Justice, will be founded. This change lead to all non-profit organisations (non-governmental organisations), registered in the register to respective district courts, to apply for re-registration by 31 December 2020.

There is no state fee for re-registration.

Upon the re-registration, the NGOs will be registered with their current names and disconnected from the BULSTAT Register as the BULSTAT code becomes identification code of NGO.

For further information and assistance with the re-registration of your NGO, please contact us on the following email address:

mail@bojovlaw.com

When foreign citizens buy a real estate in Bulgaria they should be registered in Bulstat Register to the Registry Agency as physical persons.

When the Bulstat Register places the subject in the register, it issues an identification code, which is called a Bulstat Code. Registered persons are obliged to state this Code on every official document (for example: on a tax declaration for registration of purchased real estate) which needs to be presented to notaries, local municipalities and authorities. 

There are 7 days term for this registration from the date of signing the notary deed of purchase of the real estate. If the term is missed, then fines will be imposed.

The acquired real estate must be registered at the relevant local tax office within 2 months term from the date of signing the notary deed of purchase of the real estate.

Accordingly, an owner of a real estate is obliged to pay annually property tax and waste collection fee to the local tax office. There is a certain percent of discount if the owner pays the tax and fee for the respective year by the end of April.