Employers will be able to provide food vouchers worth up to €200 per month to each worker or employee. This is stipulated in the bill amending the Corporate Income Tax Act, adopted by the government.
Until now, the maximum value of food vouchers for one person was €102.26 – the equivalent of BGN 200. The amount above this threshold will be subject to a final tax of 7 percent.
“The amount above €102.26 will be subject to a final tax, but the rate will be 7 percent,” the amendments stipulate. The bill does not yet change the rules currently in force on its own, as it still has to go through the legislative procedure.
Tax Incentives for Artificial Intelligence
Incentives for investment in technology are also proposed. Companies will be able to use accelerated tax depreciation for artificial intelligence technologies, high-performance computing equipment and server infrastructure.
The option of applying double the annual tax depreciation rate for these assets is envisaged, but not exceeding 100 percent. The threshold for depreciable tangible and intangible assets for tax purposes is increased from BGN 700 to €1,000.
Longer Period for Carrying Forward Tax Losses
The period during which companies can offset tax losses is increased from 5 to 10 years. A restriction is being introduced: losses may be deducted up to 70 percent of the positive taxable financial result.
The regime for taxing in-kind expenses related to assets owned, leased or provided for use by companies, when they are used for personal purposes, is also being changed. The aim of the provisions is to regulate more consistently the tax treatment of personal consumption through company assets.
Windfall Profit Tax in 2027
The bill provides for a 33 percent tax in 2027 on windfall profits in certain economic sectors. These include banks, insurance companies, food retailers with net sales revenue of at least €5 million in 2026, telecommunications companies, exchange bureaus and fast-loan companies.
Up to 30 percent of this tax may be waived for specific purposes, including investments or the creation of reserves. According to the provisions, the measure does not change the corporate income tax regime and does not affect the taxation of standard profits.
Additional rules are envisaged for declaring corporate tax in the event of company reorganizations; the persons liable for withholding tax are clarified, and the penalties under the law are updated.