LLC in Bulgaria (OOD/EOOD): Tax Loopholes EXPOSED. Register your company for just 190 EUR

Thinking of starting a Bulgarian OOD or EOOD? This video walks you through the practical steps, tax rules, and accounting essentials so you can launch with confidence. Navigating corporate setup in the European Union leads many entrepreneurs to Bulgaria, known for its friendly business environment, straightforward administration, and low tax rates. Below is a comprehensive guide to setting up and managing a Bulgarian limited liability company, Accounting Services in Bulgaria | Bookkeeping, accounting, payroll, taxes, tax reduce, accountancy

Entity Selection & Incorporation Basics (EOOD vs. OOD)

• EOOD (Single-Member LLC): Owned by a sole shareholder (individual or legal entity) who holds 100% control over the capital and management decisions. Ideal for solo founders, digital entrepreneurs, and freelancers.
• OOD (Multi-Member LLC): Owned by two or more partners. Governance and profit distributions are governed by the Articles of Association and the Bulgarian Commercial Act (Търговски закон).
• Capital Requirements: The statutory minimum share capital is just €1, making entry barriers remarkably low.
• Registration Steps: Drafting founding documents, opening an escrow/capital bank account, notarizing specimen signatures, and submitting the file to the Bulgarian Commercial Register (Агенция по вписванията), How we work – Accounting Services in Bulgaria

Both structures limit liability to the amount of paid-in capital, protecting personal assets. The minimum share capital required by law is just ~€1, making equity hurdles virtually non-existent, Company incorporation in Bulgaria – Accounting Services in Bulgaria

Bulgaria’s Tax Landscape & Key Incentives

• Flat Corporate Income Tax (CIT): Under the Corporate Income Tax Act (CITA / ЗКПО), profits are taxed at a flat 10%—one of the lowest rates in the EU.
• Dividend Tax: A flat 5% withholding tax applies on distributed dividends to individuals and non-EU corporate shareholders (EU parent companies may benefit from 0% under the EU Parent-Subsidiary Directive).
• Personal Income Tax (PIT): Fixed at 10% flat on personal earnings.
• VAT Framework (VATA / ЗДДС): Standard VAT rate is 20%. Mandatory VAT registration applies upon reaching statutory turnover thresholds or when engaging in cross-border B2B digital services within the EU (VIES system), Taxes – Accounting Services in Bulgaria

Ongoing Accounting Compliance & Operational Administration

• Social Security & Payroll: Company managers and employees must be registered for mandatory social and health insurance contributions under the National Revenue Agency (NRA / НАП).
• Monthly Filings: VAT returns and VIES declarations must be submitted monthly by the 14th of each following month.
• Annual Reporting: Submission of Annual Financial Statements (AFS) to the Commercial Register and the National Statistical Institute (NSI), along with the Annual Corporate Tax Return to the NRA, Annual closing – Accounting Services in Bulgaria
• Double Taxation Treaties (DTT): Bulgaria holds over 65 Double Tax Treaties worldwide, preventing double taxation for international founders and multinational operations.
• Monthly Submissions: Companies registered for VAT must submit monthly VAT returns and VIES statements by the 14th of the following month.
• Social Security (DOO/NZOK): Company managers and employees must pay mandatory monthly health and pension insurance contributions, Payroll – Accounting Services in Bulgaria
• Annual Financial Statements (NSI & NRA): Annual Tax Returns (Godishna Danachna Deklaratsiya) and financial statements must be audited (if thresholds are met) and published in the Commercial Register annually.
• Banking & Compliance: Active compliance with Ultimate Beneficial Owner (UBO) declarations and ongoing AML/KYC obligations is required for operational bank accounts, Financial accounting – Accounting Services in Bulgaria

Accounting Outsourcing – Common Reasons

Do Less. Achieve More. Focus on What Really Matters, ABOUT US | Accounting Services in Bulgaria

1. Save Up to 50% on Your Accounting Costs,
2. Create More Revenue.  With Current Staff,
3. Grow your Business. Not Staffing Worries,
4. No More Training New Accountants. EVER,
5. Reach Us Anytime. 24-hours-a-day.

Our promises & invitation for a partnership

Paramount Accounting & Legal Services firm can provide complete legal & administrations services & information about other applicable taxes in Bulgaria, such as the corporate tax   business trips expenses tax treatment    social expenses taxation   taxes on representative expenses, Company incorporation in Bulgaria – Accounting Services in Bulgaria

Our special PROMISES

1. ALWAYS to keep our services prices at least 15% below the competition’s prices level,
2. Till 3,000 EUR monthly turnover ZERO Taxation,
3. 5% taxation burden maximum,
4. 4 hours expert support on all your questions w/o extra charge,
5. 100% reimbursement of all damages (if any) caused by our advices,
6. Loyalty, Integrity & Commitment is not just empty words/declarations, but everyday practice,
7. Keeping to our promises 24/7 @ any circumstances.

See you Friends, looking forward to contribute to your business growth & success, Accounting Services in Bulgaria | Bookkeeping, accounting, payroll, taxes, tax reduce, accountancy