VAT registration in Bulgaria: when it is required

Companies and taxes · Last reviewed: 2026-10-10

Compulsory registration is not only about turnover

Turnover is the best known trigger: once taxable supplies over a defined period exceed the statutory threshold, registration becomes compulsory. But there are grounds that operate regardless of the threshold, and newcomers usually meet those first: receiving services from a supplier in another member state, acquiring goods from within the EU, or falling into the distance selling regime can each create a registration duty on its own.

Why businesses register voluntarily

• •If your customers are mostly VAT-registered businesses, the VAT you charge is not a cost to them, while you recover input VAT on your own expenses.
• •If you are in an investment phase with large purchases — equipment, software, leases — recovering input VAT changes cash flow noticeably.
• •If you supply B2B services inside the EU, a valid VAT number is a practical necessity so the counterparty can report the transaction correctly.
• •Conversely, if you sell to consumers, VAT raises your price directly; early registration can then be a competitive disadvantage.

Intra-EU transactions and VIES

Once registered, the company uses a VAT number prefixed BG and built on the EIK from the trade register. In EU transactions the counterparty's number is checked through the European Commission's VIES validation service. That check is not a formality: for cross-border B2B services the reverse charge often depends on a valid number being in place. If the number does not validate, the supply may be taxed as a domestic one and the difference stays with you.

What changes after registration

1. 1

   Regular filing begins

   A VAT return together with purchase and sales ledgers is filed with the NRA at regular intervals; the duty continues even in periods with no transactions.
2. 2

   EU transactions are reported separately

   Supplies and services to other member states are covered by a separate recapitulative (VIES) statement.
3. 3

   Invoicing rules tighten

   Invoice content, numbering and retention periods are set by law, and reverse-charge invoices must cite the relevant legal ground.
4. 4

   Deregistration is a procedure too

   When the grounds fall away you can apply to be deregistered, but it does not happen automatically and follows its own process.

The timing rule: seven days after the threshold is crossed

According to the NRA, once the annual turnover of a person established in Bulgaria exceeds the national threshold of 51,130 euro, the registration application must be filed within 7 days of the date the threshold was crossed. The registration date is the day after the threshold was exceeded. That is why turnover has to be watched all year and not just at year end: the moment the limit is passed, the clock is already running.

• •Voluntary registration (VAT Act, Art. 100(1)): open to persons established in the country who have not reached the national threshold. There is no deadline for the application, and the right can also be declared to the Registry Agency when the company is first registered.
• •Intra-EU acquisitions: registration is compulsory where the total of taxable acquisitions in a calendar year exceeds 10,000 euro and the person is not registered on another ground (Art. 99(3)).
• •For persons established in another EU member state who apply the EU small-business scheme in Bulgaria, the NRA counts an EU-wide threshold of 100,000 euro alongside the national 51,130 euro; the deadline is again 7 days.
• •A foreign person with a permanent establishment in the country, or one not established here who makes taxable supplies in Bulgaria, registers through an accredited representative if the registration conditions are met.

After registration: rates and the monthly calendar

The NRA's VAT page gives a standard rate of 20% for taxable supplies in the country, imports and intra-EU acquisitions. The reduced rate of 9% is limited to listed items such as accommodation services and books in print or electronic form. The tax period is one calendar month. The VAT return, the sales and purchase ledgers and, where needed, the VIES declaration are filed by the 14th of the following month, and the tax is paid within the same filing period. A return is also filed for a month with no purchases or sales.

Frequently asked questions

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