The registration of investment vehicles in Bulgaria has several benefits. The incorporation process itself is quite efficient, and there are no financial or filing obligations for a registered company that has no activity. The only obligation in this case is the submission of an annual tax return. Such an annual tax return can simply be submitted by the manager of the company without any supervision of an accountant.
Bulgaria enjoys the lowest corporate tax regime in Europe, with rates as low as 10 % on profit and 5% on dividends. Bulgaria has entered into a multitude of bilateral international agreements so as to prevent the risk of double taxation (such tax treaties were signed with an important number of countries such as United Kingdom, Turkey, Russia, etc.). As a result, a much more favourable tax legislation is applicable.
Unlike the laws of other EU countries, there are no requirements with respect to the minimum number of people to be employed by a Bulgarian company. A Bulgarian registered company may have only one employee that can also be the main shareholder.
There are no intricate requirements regarding the object of the company`s activity. Except for the large businesses (banks, insurance companies, etc.), companies in Bulgaria can undertake any activity it chooses. In addition, the licenses regime is rather liberal and there are only few activities that require a license.
One of the most important incentives on doing business in Bulgaria is the exception on the EU duty. As a consequence, a company may produce goods in Bulgaria and then export these goods completely tax-free to another EU member country.
The Bulgarian currency (Leva) is pegged and fixed to the common European currency (Euro) and therefore has remained unchanged over the years, thus allowing Bulgaria to offer a stable currency.