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Bulgaria Budget 2020

Budget 2020 is based on a forecast of economic growth of 3.3% over the period 2020-2022. At the same time, in 2019 the economy is moving faster than expected and recently BNB and IMF expect real growth of 3,7 %, which is 0,6 % higher than in 2018. In 2020 the GDP is expected to be EUR 75 billion. The forecast is unemployment to reduce to 4 %, which will allow growth in wages and pensions exceeding the inflation rate.

The 2020 budget does not provide an increase in taxation. 10 % on personal income and corporate profit will continue to apply.  The planned over three billion more revenues in 2020 compared to 2019, are possible because of economic growth, as well as some new tax measures taking effect in 2020, such as measures against VAT evasion through serial registration of new companies, video surveillance in excise warehouses, e-shops will be able to accept payments through bank cards without the need of a fiscal device, etc.

The Introduction of pre-filled tax returns will simplify the completion of a tax return on the NRA’s website and will eliminate the need for provision of loads of papers. It will take only a few minutes to check the information in the electronic declaration, add if something is missing will sign. Another relief is for the non-working companies, who are currently obliged to declare that they are not operating. Changes to the Accountancy Act provide for a one-off declaration, not an annual one, which will save millions of unnecessary declarations.