✓ The changes in the Civil Code include clarification of the provisions already adopted, as well as clarifications and additions regarding the taxation of multinationals and large national groups of enterprises with additional tax and with national additional tax, arising from the administrative guidelines of the OECD, as part of the framework for the application of the rules against narrowing of the tax base (second pillar) introduced into the European legislation through EU Directive 2022/2523.
They are in line with Bulgaria's commitments, as a member state of the European Union and as a country that has joined the requirements for implementing the rules of the Organization for Economic Cooperation and Development (OECD) in relation to a global minimum level of taxation of multinationals and large national enterprises; with the need for measures to update and synchronize some texts of the law with other national acts and legislation of the European Union, as well as with proposals received from the National Revenue Agency.
Amendments to the Civil Code (ZKPO) include:
- It is proposed to continue the application of the tax relief, which represents minimal assistance through the concession of corporate tax in the cases of production activity in municipalities with unemployment higher than the national average. The new minimum aid will apply for the period from 1 January 2024. until 31 December 2030, including for corporate tax for 2030, the proposed provisions being in line with the new Commission Regulation (EU) 2023/2831 of 13 December 2023. on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid, which makes it possible to implement the aid;
- It is proposed to clarify and/or supplement the texts related to the application of the regime for the taxation of multinational and large national groups of enterprises with additional tax and with national additional tax, which are in accordance with the administrative guidelines adopted by the OECD for the application of a global minimum level of taxation;
- Also, measures are being introduced to update and synchronize the texts of the ZKPO with other acts, such as the cancellation of the texts concerning paper food vouchers and those related to the change in the accounts of the National Revenue Agency
- In the transitional and final provisions of the draft law, changes are proposed in the Tax and Insurance Procedural Code, related to the requirements of the OECD to ensure the confidentiality of the content of the additional tax information declaration, as well as in the Law on the introduction of the euro in the Republic of Bulgaria.