What tax will I pay when I buy property in Bulgaria?

Question

Accepted Answer

There are several different types of taxes and fees to consider when buying property in Bulgaria. Here are the main taxes that may apply:

Local Property Tax

 	This tax is set by local municipal authorities and usually ranges from 0.1% to 3% of the value of the property. The exact rate depends on the specific municipality where the property is located.
 	The tax is calculated on the market value of the property as specified in the deed or on the cadastral value of the property, whichever is higher.

Notary Fees (Notary Fees)

 	Notary fees in Bulgaria are regulated by law and depend on the value of the property. Typically, these fees range from 0.1% to 1.5% of the value of the property.
 	The fee is charged on the market value of the property.

Registration Fees (Registration Fees)

 	The fee for registration in the land register is 0.1% of the value of the property.
 	The fee is calculated on the market value of the property as specified in the notarial deed.

VAT

 	If you buy a new property directly from a developer, it may be subject to 20% VAT. VAT usually applies to new properties sold by businesses.
 	The purchase of a used property from an individual is usually not subject to VAT.