Bulgaria VAT Compliance Guide
Bulgaria applies a standard VAT (ДДС) rate of 20% (reduced 9%) under the Law on Value Added Tax (ZDDS — Закон за данъците върху добавената стойност). The registration threshold is лв100,000 (BGN 100,000, approximately €50,000) annual turnover. Bulgaria operates mandatory e-invoicing through the MIS (Information Exchange System / Система за обмен на информация) for certain transactions — a continuous transaction control (CTC) mechanism — with broader coverage phased in.
Bulgarian VAT compliance is administered by the National Revenue Agency (НАП / NRA). The rates are simple: 20% standard, 9% reduced (tourism, restaurants), 0% for exports and intra-EU supplies. The registration threshold is лв100,000 — relatively low by EU standards, meaning businesses register earlier. Bulgaria has been a mandatory e-invoicing jurisdiction since 2023 for certain transactions (transactions with the state, B2G, and taxable persons under specific schemes) via the MIS (Information Exchange System), with progressive expansion. The pain point for small businesses is not the rate — it is ensuring every invoice is captured, classified, and ready for the mandatory e-invoicing transmission through MIS.
VAT Rates
| Rate | Applies To |
|---|---|
| 20% | Standard rate — most goods and services |
| 9% | Reduced — hotel and restaurant services (tourism rate, permanent since 2020) |
| 0% | Intra-community supplies, exports, international transport, certain financial and insurance services |
Registration Thresholds
| Scheme | Threshold |
|---|---|
| Domestic turnover | лв100,000 (BGN 100,000, approx. €50,000) annual taxable turnover — register before exceeding it |
| Distance sales / cross-border services (EU) | €10,000 combined annual threshold across all EU Member States |
| Non-established businesses | Register before making any taxable supply in Bulgaria |
Filing Requirements
VAT return (данъчна декларация по ЗДДС)
Monthly filing with the National Revenue Agency (НАП). Filed via the NRA portal by the 14th of the month following the reporting month, with payment due by the same date.
VIES (протокол по чл. 84 / VIES)
Monthly recapitulative statement of intra-EU supplies, filed with the VAT return via the NRA portal. Required for any business making intra-community supplies.
E-invoicing via MIS
Structured e-invoices must be transmitted through the MIS (Система за обмен на информация) for transactions in scope — currently B2G, state-related transactions, and certain schemes, with progressive expansion to broader B2B.
E-Invoicing Status
Bulgaria operates mandatory e-invoicing through the MIS (Information Exchange System / Система за обмен на информация) — a continuous transaction control (CTC) mechanism operated by the National Revenue Agency (НАП). Since 2023, e-invoicing is mandatory for transactions with the state, B2G, and taxable persons under specific schemes. Coverage is being progressively expanded. The format is structured XML (Bulgarian e-invoice standard, Peppol-compatible trajectory). Bulgaria is one of the EU jurisdictions moving fastest toward full CTC.
Key Deadlines
VAT return + payment: 14th of the month following the reporting month. VIES: same as VAT return. MIS transmission: real-time at invoice issuance for in-scope transactions.
How Nika Helps
Nika captures every supplier invoice with the correct Bulgarian ДДС rate (20% / 9%), the supplier EIK (identification number) and ДДС number, and files the original PDF the day it arrives, from {price} per processed invoice. That gives the accountant complete records for the VAT return and prepares the invoice data for MIS transmission. Nika does not transmit via MIS or file the return itself — that is the accountant's role.
What is the Bulgarian MIS and when is e-invoicing mandatory?
The MIS (Information Exchange System / Система за обмен на информация) is Bulgaria's mandatory e-invoicing platform, operated by the National Revenue Agency (НАП). Since 2023, e-invoicing is mandatory for B2G and state-related transactions, with progressive expansion to broader B2B. Structured XML invoices (Peppol-compatible trajectory) are required.
What is the лв100,000 VAT threshold in Bulgaria?
Businesses must register for VAT before exceeding лв100,000 (BGN 100,000, approx. €50,000) in annual taxable turnover. This is relatively low by EU standards, meaning businesses register earlier. Once exceeded, registration is mandatory and applies retrospectively to the date the threshold was crossed.