Author Archives: Konstantin Stoyanov

VAT in case of commissions paid on Booking.com by a non-VAT-registered Bulgarian company

Many Bulgarian companies use the services of Booking.com to sell their hotel and guest house accommodation services. Some of these companies are small and are not registered under the Bulgarian Value Added Tax Act (VATA). Booking.com is a foreign company, … Continue reading

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NOVACON Customer Stories: Smart SM

Vladislav Svilensky, Commercial Director of Smart SM talks about his long-term collaboration with NOVACON.

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NOVACON Customer Stories: S & T Bulgaria

Vassil Minev, Financial Director of S&T Bulgaria, shares his experience with the challenges with the transition of the payroll and accounting function in S&T from in-house to outsourcing.

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How to pay less corporate tax in advance during the year without paying interest to budget

Under Corporate Income Tax Act (CITA), corporate taxpayers are obliged to make monthly or quarterly advance payments of corporate tax. Entities with net sales for previous year exceeding BGN 3 million are obliged to make monthly advance installments. All other … Continue reading

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Annual financial statements “at one spot”

Every year the companies must publish annual financial statements for the past year, as the deadline for sole proprietors (which are subject to statutory audit) is 31st May, for limited liability companies (LLC) – by 30th June, and for all … Continue reading

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VAT effects related to contribution in-kind

Under Value Added Tax Act (VAT Act), the contribution in-kind is treated as a “non-delivery”. I.e. the transfer of an asset from one company (X) to another (Y) via contribution in-kind does not lead to VAT accrual.

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Is VAT due for advance payments before the Company is VAT registered?

Value Added Tax Act (VATA) treats advance payments received before VAT registration of the Company as a specific case for VAT accrual.

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What are the complications associated with the VAT “cash accounting” regime?

Since the beginning of 2014, the Value Added Tax Act (VATA) introduced an alternative VAT treatment regime– i.e. “cash accounting” regime. In a few words, this regime allows the supplier to pay VAT to the budget only following receiving the … Continue reading

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Sole Proprietor or an Ltd?

Perhaps any entrepreneur, when starting up a business, is probably asking himself how to do it – as a sole proprietor or via an Ltd? I will not delve into legal analysis and comparisons, but will point a few basic … Continue reading

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Inherited property taxes

Tax issues, related to inherited property can be considered in the light of acquiring inherited property, as well as of subsequent sale or exchange of the inherited property. Answers to these questions can be found in the Personal Income Tax … Continue reading

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