30.03.2021

WE USE A 5% TAX REBATE IF WE FILE THE INCOME TAX RETURN BY MARCH 31

For the first time this year, the National Revenue Agency provides pre-filled tax returns for personal income taxation. Every citizen has the opportunity to compare the officially entered data in the electronic submission of declarations. The pre-filled declarations are available on the website of the Revenue Agency from March 16, the NRA announced.

"The two big changes are data on income from online trading, which we have filled in in advance. And the second is, if there is overpaid tax, it must explicitly and is expected to indicate the declarant, the individual, what will happen to this overpaid tax - whether it should be refunded to a bank account, or maybe, which is a new possibility, it be used in the future", explained the spokesman of the National Revenue Agency Rosen Bachvarov.

In addition to the data on the amounts paid from labor income, the tax authorities fill in the declarations and the income from commercial transactions. Here, those who complete the declarations must indicate whether these are sales of their personal belongings as individuals - the TV, the child's previous ski boots, etc., or whether they are acting as traders, whether or not they are registered as such. It is important to clarify that people who sell personal belongings electronically, and not created or bought for resale, have neither an obligation to declare them nor owe taxes on them.

Data from car transactions, as well as from the purchase of work experience are also pre-filled in the declaration. The sale of a car after it has been owned for less than 12 months is subject to taxation.

There will be no data in the pre-filled declarations for renting out properties to individuals, which is a commitment of the landlords to declare.

In real estate transactions, the rule is that the sale is not taxable if it has been owned for at least 3 years by the seller and is used as a main home. The sale of up to 2 properties, which were owned by the executor of the transaction for at least 5 years, also remains outside taxation.

The National Revenue Agency reminds that the benefits for children in this tax campaign are in the amount of last year - BGN 20 per child. The new, much higher thresholds - from BGN 450 per foster child, which were adopted by the government, will apply to income received this year, and will be reflected in the declarations submitted next year.

The personal income tax campaign, which began in January, will end on May 5, although the deadline for declaration and payment is April 30, due to the Easter holidays. For failure to file a tax return, the fine is BGN 500. For declared incorrect data - 1000 BGN.

It is no longer necessary to submit official notes in more than 90% of cases - for example, for fees for civil contracts, decisions from the LEMC, declarations for tax relief for children to the other parent, said Bachvarov.

People who have income both as individuals and as sole traders must submit a declaration in the second capacity, indicating in it the already declared in the declaration of personal income. There is a possibility for a 5% discount on the additional payment tax, but not more than BGN 500. In order to use it, there must be no tax liability, the tax must be declared electronically and paid before March 31.

There are less than two days left in which individuals can use the 5% discount on the top-up tax on their annual tax return. In order to take advantage of the discount, the citizens must submit their annual tax return by March 31, have no enforceable public obligations, as well as pay the full amount of the additional tax, reminded by the NRA.

The fastest and easiest way to submit the annual tax return is through the portal for electronic services of the National Revenue Agency, accessible with a personal identification code (PIC) or a qualified electronic signature (QES). The revenue agency advises consumers to check online for old debts.

The deadline for declaring income and paying the additional tax this year is May 5, 2021, due to the weekends around the Easter holidays. In addition to electronic means, tax returns can be sent by post, submitted on the spot at the NRA office or at some post offices, where an incoming number will be issued directly.

Information for filling in and submitting tax and insurance declarations and depositing amounts to the budget can be obtained from the NRA website - https://nra.bg/ or by phone: 0700 18 700 at a price according to the tariff of your telephone operator.