Expat Taxes in Bulgaria

[!TIP] Bulgaria has a flat 10% tax rate. It is the cheapest tax base in the EU.

The Flat Tax System

Bulgaria's tax system is aggressively simple.

• Personal Income Tax: A flat 10%.
• Corporate Tax: A flat 10%.
• Dividend Tax: A flat 5%.

The Setup

For nomads wanting to optimize, the standard playbook is to incorporate a Bulgarian EOOD (Single-Member LLC).

• You invoice your global clients through the EOOD (paying 10% corporate tax on the profit).
• You then extract the profit to your personal bank account as dividends (paying a 5% dividend tax).
• Total Effective Tax Rate: Around 14.5%. This is unparalleled within the European Union.