Thinking of contracting?
From early planning advice to emergency payroll for imminent work, Link Global can help you with your work arrangements.
Get in touch with one of our advisors now using the phone number at the top of the page, or use our online form and email services.
Payroll Services for
Bulgaria Contractors
Employment status in Bulgaria
Thinking of contracting?
From early planning advice to emergency payroll for imminent work, Link Global Management can help you with your work arrangements.
Get in touch with one of our advisors now using the phone number at the top of the page, or use our online form and email services.
Link Global Management can provide a full range of payroll services in Bulgaria. The individual will be engaged on our payroll and income is paid in the form of salary, allowances and expenses, the proportion of each part depending on individual circumstances.
Salary, Tax & Social Security
Link Global Management deducts tax and social security at source on a PAYE basis, and payments are made to the relevant authorities on the employee's behalf. The taxable amount may be reduced by offsetting certain business expenses. There are different tax rates and bands according to earnings level and marital/family status.
Link Global Management will discuss your personal circumstances with you and help you to minimise your tax and social security liabilities, within the boundaries of Bulgarian legislation.
Tax Returns
Income is managed tax efficiently, not just in Bulgaria but also in any other country where there may be a liability. A tax return is filed each year in Bulgaria with advice and assistance from Link Global Management who will also provide help with filing tax returns elsewhere, if required.
Income tax in Bulgaria
Employed individuals are subject to income tax on remuneration (money or benefits in kind) paid or provided by or on behalf of an employer. Income derived from employment activities performed in Bulgaria has a Bulgarian source. The following employment income is exempt from tax:
1. The amount of per diems related to business trips within Bulgaria and abroad up to double the statutory amounts determined by law.
2. Travel and accommodation expenses relating to business trips covered by supporting documentation.
3. Certain social benefits provided by and taxed at the level of the employer.
Individuals who are tax resident in Bulgaria are subject to income tax on their worldwide income. Individuals who are non-resident for tax purposes are subject to income tax on their income earned in Bulgaria.
The rate of income tax is a flat 10%, except for dividend income, which is taxed at a rate of 5%, and the income of sole entrepreneurs, which is taxed at a rate of 15%.
Thinking of contracting in Bulgaria?
