{"id":1924,"date":"2019-12-05T09:33:06","date_gmt":"2019-12-05T09:33:06","guid":{"rendered":"https:\/\/dev.useme.com\/en\/blog\/?p=1924"},"modified":"2023-06-27T07:20:24","modified_gmt":"2023-06-27T07:20:24","slug":"freelancing-in-bulgaria-legal-aspect-taxes-obligation","status":"publish","type":"post","link":"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/","title":{"rendered":"Freelancing in Bulgaria: legal aspect, taxes, obligation"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79_2 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Table of contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#How_many_people_work_as_a_freelancer_in_Bulgaria\" >How many people work as a freelancer in Bulgaria?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#Do_freelancers_need_to_register_or_open_a_company\" >Do freelancers need to register or open a company<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#What_is_the_basic_tax_rate_for_a_freelancer\" >What is the basic tax rate for a freelancer?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#How_to_report_the_income_tax_rate_as_a_freelancer\" >How to report the income tax rate as a freelancer<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#What_is_the_additional_requirement_to_work_as_a_freelancer\" >What is the additional requirement to work as a freelancer<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/useme.com\/en\/blog\/freelancing-in-bulgaria-legal-aspect-taxes-obligation,133\/#What_is_better_and_safer_to_work_as_a_freelancer\" >What is better and safer to work as a freelancer<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"How_many_people_work_as_a_freelancer_in_Bulgaria\"><\/span>How many people work as a freelancer in Bulgaria?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Bulgarian has <a href=\"https:\/\/en.wikipedia.org\/wiki\/Demographics_of_Bulgaria\" target=\"_blank\" rel=\"noopener\">7 million residents<\/a>. It is common to work as a freelancer in Bulgaria. In 2018, more than <strong>7000<\/strong> people worked as a freelancer in Bulgaria. We observe a high amount of freelancers in Bulgaria.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Do_freelancers_need_to_register_or_open_a_company\"><\/span>Do freelancers need to register or open a company<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>No, they do not. You <strong>do not<\/strong> need to open a company in order to work as a freelancer in Bulgaria. You only need to take care of legal duties such as reporting the income tax and paying the social contributions. This rule applies to all full-time and part-time Bulgarian freelancers.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_the_basic_tax_rate_for_a_freelancer\"><\/span>What is the basic tax rate for a freelancer?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The tax burden in Bulgaria is relatively low compared to other countries. Bulgarian ranks third among the country with a lower tax rate and social contribution rate. Just fall behind Romania and Ireland. The corporate tax and the individual tax rate are <strong>10%.<\/strong> That is calculated from the taxable income. That is a friendly tax structure. Moreover, pension contributions are calculated from the reduced value. Besides the income tax, the freelancers and employers are required to pay the pension and health contribution. The pension and health contribution percentage is <strong>27.8%<\/strong> from the remuneration and divided into two parties.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_report_the_income_tax_rate_as_a_freelancer\"><\/span>How to report the income tax rate as a freelancer<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The individual has to report the income tax from January 1st to April 30th. Freelancers can report the income tax to the <a href=\"https:\/\/nra.bg\/page?id=313\" target=\"_blank\" rel=\"noopener\">National Revenue Agency.<\/a> They can pay the tax <a href=\"https:\/\/nra.bg\/page?id=328\" target=\"_blank\" rel=\"noopener\">online<\/a> with a credit card, bank transfer, and by mail.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_the_additional_requirement_to_work_as_a_freelancer\"><\/span>What is the additional requirement to work as a freelancer<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>All of the above legal duties are for a freelancer who stays in Bulgaria for more than 183 days. For freelancers with <a href=\"https:\/\/www.schengenvisainfo.com\/eu-citizenship\/\" target=\"_blank\" rel=\"noopener\">EU citizenship,<\/a> they can enter Bulgaria without any visa. For non-Euro freelancers, you first need to start applying for the freelancer permit from the <a href=\"https:\/\/www.az.government.bg\/en\/pages\/za-nas\/\" target=\"_blank\" rel=\"noopener\">Employment Agency<\/a> before obtaining the resident permit.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_better_and_safer_to_work_as_a_freelancer\"><\/span>What is better and safer to work as a freelancer<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Bulgaria offers a suitable environment for freelancers. Useme offers a <a href=\"https:\/\/useme.com\/en\/secure-payment\/employer-choose\">safe way<\/a> to grow your freelance business. With us, any client can only download your work after paying for it. You have a faster way to receive payment in the best ways. Have a new project? We will <a href=\"https:\/\/useme.com\/en\/secure-payment\/employer-choose\">confirm the cooperation<\/a> in advance.<\/p>\n<p>Are you looking for a better way to work with a Bulgarian freelancer? Useme offers an easy way to hire every talent. With <a href=\"https:\/\/useme.com\/en\/get-an-invoice\/\">a piece of information,<\/a> we can send a tax invoice and finish the whole process. You can start the cooperation and work on the project right away!<\/p>\n<p>Any questions? Contact us at <a href=\"mailto:info@useme.eu\">info@useme.eu<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Everywhere can be your office. You can arrange your own working schedule. Those are just parts of the benefits of working as a freelancer. More and more companies work with outside contractors to fill the short-term and long-term talent gap. Bulgaria offers a suitable environment for freelancers with a low-income tax rate and high social charges. <\/p>\n","protected":false},"author":16,"featured_media":1925,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","content-type":"","inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[23],"tags":[47,50,56,59],"class_list":["post-1924","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-freelancers","tag-travel","tag-job-market","tag-bulgaria","tag-taxes"],"modified_by":"\u017baneta","_links":{"self":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/1924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/comments?post=1924"}],"version-history":[{"count":3,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/1924\/revisions"}],"predecessor-version":[{"id":2915,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/posts\/1924\/revisions\/2915"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/media\/1925"}],"wp:attachment":[{"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/media?parent=1924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/categories?post=1924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/useme.com\/en\/blog\/wp-json\/wp\/v2\/tags?post=1924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}