Bulgarian VAT registration

In Bulgaria, the requirement to register for value-added tax (VAT) depends on whether the business is established in Bulgaria and the nature of the taxable activities carried out.

For Bulgarian-established businesses, VAT registration is required once annual taxable turnover exceeds BGN 100,000 (approximately EUR 51,000) within a rolling 12-month period. This is the statutory domestic threshold under the Bulgarian Value Added Tax Act. Businesses below this threshold are not required to register unless they carry out activities that trigger mandatory registration.

There is no VAT registration threshold for nonresident businesses. VAT registration is generally required for foreign businesses from the first taxable supply, unless the reverse-charge mechanism fully applies.

Bulgarian businesses making cross-border B2C supplies of goods or services to customers in other EU member states must consider the EU-wide EUR 10,000 OSS threshold for total cross-border EU sales. Once this threshold is exceeded, VAT must be charged in the member state of consumption. The supplier may register locally in each member state or elect to use the EU One-Stop Shop (OSS) scheme.

Apart from the domestic BGN 100,000 threshold for Bulgarian-established entities, there are no general simplification thresholds. VAT registration is typically mandatory once the relevant taxable activity is undertaken, particularly for nonresident or cross-border business models.

Foreign businesses may need to register for Bulgarian VAT if they engage in activities such as:

• Importing goods into Bulgaria (imports trigger VAT at customs clearance)
• Selling goods or services in Bulgaria directly to Bulgarian customers
• Making domestic B2B or B2C supplies within Bulgaria where the reverse charge does not apply
• Providing electronically supplied services or digital products to Bulgarian consumers where OSS is not used or local registration is chosen
• Engaging in intra-EU supplies or acquisitions involving Bulgaria 
• Holding inventory in Bulgaria (for example, in a warehouse or fulfilment centre)
• Running ecommerce operations delivering taxable goods into Bulgaria

Registration may also be required where a business makes zero-rated intra-EU supplies but also carries out taxable domestic activities.

To register for VAT in Bulgaria, applicants (resident or nonresident) typically need to provide:

• A completed VAT registration application submitted to the National Revenue Agency (Natsionalna agentsiya za prihodite – NRA)
• Legal entity details: company name, legal form, country of incorporation, registered address, directors or managers
• Description of business activities and expected Bulgarian taxable turnover
• Details of taxable supplies to be made in Bulgaria 
• Power of attorney for a fiscal representative, where required (generally mandatory for many non-EU businesses)
• Banking and contact details for VAT correspondence
• Supporting documentation demonstrating the nature of Bulgarian activities (especially for nonresident applicants)

Applications are submitted to the NRA, typically via its electronic portal. VAT registration should generally be completed before taxable supplies begin, as late registration may result in penalties or backdated VAT assessments.

Once approved, the NRA issues a Bulgarian VAT number. Registration timelines may vary depending on the completeness and complexity of the application.

Structure: BG + 9 or 10 digits (for example, BG123456789)

The BG prefix is used for EU VAT identification and verification purposes, including validation through the VAT Information Exchange System (VIES).

After registering for VAT in Bulgaria, businesses must comply with ongoing VAT obligations, including:

• Filing periodic VAT returns (generally monthly)
• Charging and collecting Bulgarian VAT at the applicable rates (standard rate 20%)
• Issuing VAT-compliant invoices in accordance with Bulgarian and EU invoicing rules
• Submitting EC Sales Lists (recapitulative statements) and Intrastat reports where applicable
• Maintaining VAT records and accounting documentation in line with Bulgarian legislation
• Using the One-Stop Shop (OSS) scheme where applicable for EU cross-border B2C supplies
• Paying VAT due by the statutory deadlines

Failure to comply with Bulgarian VAT requirements may result in penalties, interest charges, and enforcement action by the National Revenue Agency, particularly in cases of late registration, incorrect filings, or unpaid VAT liabilities.