Bulgaria: Amendments to individual income tax and social security contributions effective 1 January 2024

Legislation became effective 1 January 2024

Legislation became effective 1 January 2024

Amendments to the legislation governing individual (personal) income tax and mandatory social security contributions became effective 1 January 2024 (subject to certain exceptions).

Notable amendments relate to:

  • Treatment of capital gains from transactions with virtual currencies as taxable income
  • Introduction of 10% statutory expenses in taxable transactions with financial assets and foreign currency
  • Additional income to be declared and new rules regarding the reporting under art. 73, para. 1 of the PITA
  • Reporting under art. 73, para. 6 of the PITA by employers and reporting employment income paid out during the year
  • Tax deductions
  • Changes in insurance income and applicable social security contributions for 2024
  • Reduction in the burden on the employer in case of temporary inability to work due to illness

Read a January 2024 report prepared by the KPMG member firm in Bulgaria



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