Changes on the horizon for Bulgarian company registration

Bulgarian company registration

The only permanent thing is change, they say. A rule strong like a century old tree today but can be completely out of fashion tomorrow. The frame of Bulgarian company registration for the most part reminds of still water. However as we know there are bubbles and circles here and there. Some changes in legislation emerge on the horizon.  These concern the formation of a business entity. And this is not a rumor but a word from an official government source.

The changes will not concern the very foundation of Bulgarian company registration. Furthermore they will not alter the nature of the basic types of legal entities. Future plans to modify the law are targeted against some forms of abuse of VAT registration. Recent revision on the seaside resorts indicated violations of the law. These were attempts of traders to keep their profit in the dark to avoid submission to the tax agency. Not that VAT registration is some terrible event but in many cases, for small-scale businesses, it’s more profitable to go on without it.

Anyway, VAT registration is compulsory for every firm or individual gaining from independent economic activity who has an annual turnover above 50 thousand leva (50 000 BGN). This is calculated in the span of the last 12 months. And some businessmen on the verge of that threshold try to invent ways to escape such mandatory Bulgarian company registration. It is not clear what will be the nature of forthcoming changes in the law. However it is unlikely to expect some real shakedown. What we will probably see are just simple alterations.

In any case at BulgarianLaw.co, we always advise our clients to stick strictly to the rules of legislation. And we guarantee that our team is up to date of every alteration of the rules anytime.