Taxes and investments

Start with tax residence

Bulgarian residents are generally within scope on worldwide income; non-residents on Bulgarian-source income. Domestic residence criteria include more than 183 days within a twelve-month period and the centre of vital interests. A Bulgarian permanent address has an exception where the centre of vital interests remains abroad. Dual residence requires the relevant treaty analysis.

Record days and ties in both countries. Ask an adviser to establish the effective move date before selling investments or taking a pension lump sum. Residence registration is a separate process.

Sources: NRA — resident and non-resident individuals

Rates are attached to an income category

The general personal income-tax rate is 10% on the relevant taxable base, rather than on every incoming payment. Dividends generally carry 5% final tax. Foreign dividends can require your own Bulgarian declaration and payment, with treaty relief or credit depending on the facts. Keep statements showing gross income, foreign withholding and payment dates.

Do not apply these rates to every pension: pension type and treaty allocation need a separate check. Paid work and business income can also bring social-insurance obligations beyond income tax.

Sources: NRA — personal income tax · NRA — dividends

Shares and ETFs: when gains can be exempt

For a private investor, Article 13(1)(3) can exempt gains on qualifying share and fund-unit disposals. An ETF structured as a qualifying collective investment scheme can fall within this rule when the sale meets the market conditions. The ETF label alone is insufficient; dividends and distributions have their own treatment.

The market route covers qualifying instruments sold on an EU/EEA regulated market under the statutory definition. From 1 January 2026, qualifying growth-market trades are included in the permanent definitions, replacing the earlier temporary measure ending in 2025. A growth market must have the required legal status; an ordinary multilateral trading facility is not automatically one.

The broker’s country, fund domicile, trading currency and location of the underlying companies do not establish the execution venue. For example, exposure to US shares through a qualifying fund sold on a qualifying EU/EEA venue is different from a sale executed on a US exchange. A US or UK venue does not qualify for this market exemption simply because it is locally regulated. OTC execution, CFDs, cryptoassets and other non-qualifying transactions can produce taxable gains.

Before relying on exemption, retain the fund’s legal classification, ISIN and trade confirmation showing the actual venue and segment. Check that venue’s regulatory status. Separate statutory routes exist for qualifying fund redemptions and takeover offers; do not confuse a broker sale with redemption by the fund.

Sources: NRA — sale of property and financial assets · NRA — Personal Income Tax Act, 2026 consolidated publication · NRA — Corporate Income Tax Act, market definitions §1 points70/70a · Bulgarian Parliament — Markets in Financial Instruments Act, Article152

Bank interest and broker cash differ

NRA lists an exemption for qualifying deposit interest with banks established in the EU/EEA. Do not transfer that conclusion to all broker cash returns, money-market funds, bonds or interest paid by a non-bank. The legal payer, account and instrument determine treatment; taxable non-exempt interest can fall into the annual tax base.

Ask the provider for a statement identifying the product and payer. A label such as interest or cash yield in an app is insufficient for classification.

Sources: NRA — interest income

Property sales and ownership taxes

For private individuals outside a trading-business context, the NRA describes annual sale exemptions for one residential property held for more than three years, and up to two immovable properties held for more than five years; agricultural and forest properties have a separate unlimited-count provision after more than five years. Exact acquisition and disposal dates matter. Other sales can be taxable.

Nessebar Ordinance 14 sets acquisition tax at 3% of the statutory transfer assessment base, generally the higher of agreed price and tax assessment. Annual property tax is 2.2‰ (0.22%) of assessed value, not market price. A qualifying main home receives a 50% reduction, claimed by declaration; declaring multiple main homes removes that relief. On an illustrative €50,000 assessment, annual tax is €110, or €55 with the reduction. Waste charges, complex maintenance and purchase fees are additional.

Geographical scope: the municipal rates in this example concern Nessebar Municipality, which includes Sveti Vlas and Nessebar. They are not a Pomorie tax quote. For a Pomorie purchase or annual ownership budget, obtain the current ordinance, assessment and waste charge for the actual property from Pomorie Municipality. The national income-tax and treaty distinctions above remain separate.

Sources: NRA — sale of property and financial assets · Nessebar Municipal Council — Ordinance14, Articles18,21,22,41,42 · Ministry of Finance — property acquisition tax · Ministry of Finance — current local taxes legislation · Pomorie municipal administration contacts

Bring these records to your adviser

Bring residence history, pension contracts, annual broker statements, property acquisition deeds and foreign tax assessments. Ask for a written schedule by income type: taxable country, domestic exemption, applicable treaty article, filing requirement and evidence needed for foreign credit or refund. Confirm current filing deadlines and currency rules directly.

This is a general orientation, not personal tax or investment advice. A short review before a major withdrawal or sale is more useful than trying to fix the classification afterwards.

Sources: NRA — personal income tax · NRA — resident and non-resident individuals

Useful contacts

Contact details from the linked sources. Arrange appointments, language and fees with the provider.