One-off Tax On Certain Expenses

One-off Tax On Certain Expenses

Expenses subject to one-off tax:

  • Representative expenses;
  • Social expenses provided in-kind to the employees (e.g., fringe benefits), except for food vouchers and voluntary insurance contributions (social, health and life insurance) up to BGN 60 each per employee per month; and
  • Expenses related to the use of vehicles for management purposes.

Tax Rate
  
The tax rate is 10% on the accrued expenses. Both the respective expense and the one-off tax applicable to it are deductible for corporate income tax purposes.