A natural person who has reached turnover for VAT registration

A natural person who has reached turnover for VAT registration

If an individual has a turnover of BGN 200,000 for the last 12 months and a profit of BGN 100,000, what will be the tax deduction? With a turnover of more than BGN 100,000 in 12 months, it is mandatory to register for VAT, therefore the taxes will be 10-15% + 20% (VAT) and insurance - is that right?
Thanks in advance!

insurance payable, Bulstat register, VAT turnover, accounting services, Varna, Ruse, Stara Zagora, Plovdiv, Burgas, Sofia
Generally speaking, if we assume that the person is not registered as a self-employed person, the taxes will be:
- 27.8% insurance on realized profit. If the amount of profit is higher than the maximum insurance threshold for the relevant year, insurances are calculated based on the maximum insurance threshold. If there is no change in the insurance thresholds by the end of 2023, this means insurance calculated on BGN 40,800 (the maximum insurance threshold is BGN 3,400.00 * 12 months)
- 15% tax on realized profit. Insurance is also recognized as an expense
- VAT - there are already many conditions here. There are various conditions for mandatory registration, reaching a turnover of BGN 100,000 for the last 12 months is only one of the conditions. When providing services to companies in the EU, when receiving services from companies outside Bulgaria, when selling goods and services to individuals in the EU, when importing goods from the EU, etc. VAT registration is also required. In some of the registration modes, 20% VAT is due, in others - no, in others, the VAT rate applicable in EU countries is due. Without further information, we cannot give a concrete answer to this question.
If we assume that it is an activity entirely carried out in Bulgaria (both purchases and sales), then upon reaching a turnover of BGN 100,000 for the last 12 months, you are required to register for VAT. After VAT registration you will have to charge 20% VAT on your sales and accordingly you will owe this VAT to the State. You will also need to submit VAT returns each month detailing your sales. If you have VAT charged on the invoices for purchases related to your activity, you will be able to deduct it from the VAT you owe.
We hope we have been helpful!

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