# What is Corporate Income Tax (Bulgaria)?

Country: Bulgaria

Bulgarian Corporate Income Tax is a flat 10% on company profits, the lowest in the European Union (tied with Hungary at 9%). Applied uniformly to all Bulgarian-resident companies regardless of size. Filed annually under Article 92 of the Corporate Income Tax Act with the National Revenue Agency (NRA).

## Current rate (Calendar year (1 January – 31 December))

10% flat

## Example

A Bulgarian OOD with €500,000 taxable profit pays €50,000 Corporate Income Tax. CT return filed between 1 March and 30 June of the following year via the NRA portal, with the tax paid by 30 June.

## How Corporate Income Tax (Bulgaria) works in Bulgaria

Bulgaria's flat 10% rate is one of its main attractions for founders and entrepreneurs. There is no separate state, local or surtax: the 10% is the headline number and the all-in number for company tax.

The corresponding personal income tax is also a flat 10%, and dividend withholding is 5%, making the combined effective burden for a founder distributing all profit approximately 14.5%, well below most EU and OECD jurisdictions.

Bulgarian Corporate Income Tax is always filed on a calendar year basis: there is no option to elect a non-calendar accounting period for tax purposes (unlike most EU countries).

Source: https://nra.bg/en/businesses/taxes/corporate-tax

## Related terms

- [VAT (Bulgaria)](https://accounts-os.com/bg/glossary/vat-bulgaria)
- [Advance Corporate Tax Payments](https://accounts-os.com/bg/glossary/advance-ct-bulgaria)
- [OOD (ООД): Limited Liability Company](https://accounts-os.com/bg/glossary/ood)
- [Annual Financial Statements](https://accounts-os.com/bg/glossary/annual-accounts-bulgaria)