Bulgaria: VAT for restaurants and tourism sector will be reduced from next year
Photo by LCV / Shutterstock.com
Prime Minister Boyko Borissov and representatives of restaurant, catering and entertainment establishment businesses agreed on May 12 that the value added tax will be reduced from the standard 20% to 9% as of January 1, 2021, the Bulgarian News Agency (BTA) reported.
Photo by LCV/Shutterstock.com
The lower VAT is expected to become effective immediately and remain in place until the end of 2021. The proposal for a lower VAT was submitted to Parliament yesterday (Wednesday, May 13) by the MPs of GERB and the United Patriots.
Borissov noted that his own GERB party, including the finance minister and the chair of the parliamentary budget committee, is against a lower VAT as the 9% level will open up a BGN 150 million (EUR 77 million) gap in the budget, BTA added.
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