Freelancer tax Bulgaria 2026 and what changes in 2027

Freelancers in Bulgaria pay a 10% flat income tax on 75% of what they earn — the Personal Income Tax Act gives a 25% standard deduction for expenses without receipts (Art. 29) — so the tax is at most 7.5% of gross income. On top come social and health contributions of about 27.8%, charged on a monthly base between €620.20 and €2,300 (from 1 August 2026), with a proposed €2,400 cap from 2027.

Who counts as a freelancer?

Bulgarian law calls it a “free profession” (свободна професия): self-employed work such as programming, design, translation, consulting, writing or other liberal professions, billed by you as an individual rather than through a company (EOOD). To use these rules you generally need to be tax resident in Bulgaria — usually more than 183 days in a 12-month period. Non-EU citizens first need a right to live and work here; see our guides to non-EU residence and tax ID, EU citizens’ residence and the digital nomad visa.

How do you register?

1. BULSTAT — register in the BULSTAT register at the Registry Agency. You get a unique identification code.
2. NRA declaration — within 7 days of starting work, tell the National Revenue Agency you are self-insured and choose basic or extended (with sickness/maternity) cover.

What do contributions cost in 2026?

For people born after 1959, the National Revenue Agency lists 14.8% pension (state social security), 5% supplementary pension fund and 8% health insurance — roughly 27.8%. Optional sickness and maternity cover adds 3.5%. BNT reported that the minimum monthly base rose from €550.66 to €620.20 on 1 August 2026, and the maximum to €2,300 (it was €2,111.64). You pay monthly by the 25th of the following month, then square up with your actual income in the annual return.

The 8% health part is what gives you access to the public health system (NZOK) — useful for things like dental treatment in Varna.

What changes in 2027? (proposed, not yet law)

Status as of 26 October 2026: these are draft measures. Parliament has not yet voted on the 2027 budget or the tax law changes, so the figures can still change.

• Maximum base up to €2,400. The draft budgetary plan raises the maximum monthly insurable income from €2,300 to €2,400 from 1 January 2027, Capital reports; minimum insurable incomes for some activities rise too. At about 27.8%, the top monthly contribution would go from about €639 to €667.
• Minimum base and the 2027 minimum wage. In August 2026 the minimum base for the self-insured was lifted to the level of the minimum wage, €620.20. The 2027 minimum wage has to land between €620.20 and €672.80, with a decision due at the end of October, according to BTA; the government’s draft decree proposes €660. If the minimum base follows again, the smallest contribution would be about €183 a month instead of €172.
• VAT registration threshold €60,000. On 23 October the tripartite council of government, unions and employers backed a phased rise to €60,000 from 1 January 2027, €70,000 in 2028 and €75,000 in 2029, BTA writes.
• Contribution rates: unresolved. In December 2025 the Finance Ministry’s three-year framework planned to raise social security contributions by 1 percentage point in 2027 and 2 points in 2028, Sofia Globe reported. None of the October 2026 reports on the draft budget that we checked confirms this, so treat it as open.

What does it mean for freelancers in Varna?

If your taxable income reaches the new €2,400 cap (about €3,200 a month gross, since only 75% of income is taxable), you would pay roughly €27.80 more a month, by our calculation from the Capital figures. On the minimum base, a €660 minimum wage would add about €11 a month. The higher VAT threshold lets you invoice more before VAT registration becomes compulsory. For the wider picture, read the Varna Pulse explainer on the 2027 budget plan and tax changes.

Worked example in euro

A simplified year at the NRA rates in force from August 2026, born after 1959, earning €2,000 a month (€24,000 a year):

Step	Amount
Taxable income (75%)	€18,000
Monthly insurable base (€18,000 ÷ 12)	€1,500
Contributions (27.8% × €1,500 × 12)	€5,004
Tax base (€18,000 − €5,004)	€12,996
Income tax (10%)	€1,299.60
Total tax + contributions	€6,303.60 (about 26% of gross)

Below about €827 a month of gross income, you still pay contributions on the €620.20 minimum set by the NRA.

Which deadlines matter?

• 25th of each month: social and health contributions for the previous month.
• 31 March: file online and pay in full to get 5% off the tax.
• 30 April: annual income tax return and annual contributions settlement.
• Advance tax: under Art. 43 and 67 of the Personal Income Tax Act, when the client does not withhold it, you pay advance tax by the end of the month after each quarter (none for the fourth quarter). Bulgarian companies and self-insured clients withhold it when they pay you. Check how your foreign clients count on nra.bg or with an accountant.

Practical tips

• Put aside about 30% of each invoice until you know your real figures.
• Get a qualified electronic signature (KEP) so you can file online and claim the discount.
• Foreign clients may ask for your tax residency certificate to avoid withholding in their country.
• Working remotely from Varna? Our page on remote work and coworking and the cost of living in Varna help you set your rates.