On 30 July 2020, the Bulgarian parliament approved at second (final) reading the proposal for extending the scope of the products for which the reduced 9% VAT is applied. The new products include:
| – | beer and wine provided as part of restaurant/catering services; |
| – | the use of certain sports facilities; and |
| – | tour operators' services, including the organization of excursions by tour operators and travel agents with occasional transportation. |
The reduced 9% VAT rate for the above products will apply temporarily during the period from 1 August 2020 – 31 December 2021.
As a next step, the amendments to the VAT Act must be promulgated in the State Gazette. Further developments will be reported as they occur.
The draft proposal is available here (as a PDF and in Bulgarian only).