Bulgaria has all the potential to be a tax heaven but is not known to be such because of its previous ‘non-business’ communist period. That’s why Bulgaria has no previous business tradition and culture and its recent business potential – some of the lowest possible tax rates, production costs and living costs are not so well-known. Besides, the available business entities are the same here in Bulgaria as elsewhere within the European Union.

Many service providers are establishing their companies here in order to provide services worldwide. Using this business model foreign companies generate revenues internationally but pay only 10% corporate tax in Bulgaria. Many foreign investors have made significant investments in Bulgaria, taking advantage of the low labor costs, low cost of setting up a new business, low overhead expenses and other unique mix of advantages that Bulgaria has to offer.