12 November, 2008


At its sitting, dated 12 November 2008, MPs discussed amendments to the Corporate Income Taxation Act, a bill tabled by the Council of Ministers. The changes stipulate the cancellation of profit taxation for corporate entities and reject the possibility for businesses to claim on their tax declarations losses suffered on the stock markets in European countries. The change is undertaken in order to bring the taxation of profits and losses suffered on the Bulgarian stock market in line with those in other European countries. It also increases the tax relief for money, provided by the employers, for food and provides for tax reliefs on donations, so that donation recipients won’t be discriminated.
The recipients of donations could reside in any European country, regardless of the country where the donation originates from. The donor should be able to prove with formal documents the status and identity of the recipient.

The National Assembly passed at first reading amendments to the Natural Persons Income Taxation Act, to the Local (Municipal) Taxes and Fees Act and to the Excise Duties and Tax Warehouse Act. Amendments to the Value Added Tax Act were deliberated at second reading.