new land tax form

We don't like them but we gotta pay them! How does it work in Bulgaria?

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Postby phoenix2b » Tue Jun 28, 2011 9:38 pm

Owain-a big thank you-ploughing my was through these--any idea what a UIC is? ЕИК in Bulgarian-many thanks- I shall be up very late tonight!!

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Postby booboo » Wed Jun 29, 2011 6:51 am


Our house was originally built and used for commercial purposes so as we discovered later, there was no (easy) option but for it to remain registered as commercial.

We made considerable enquiries and though you may dispute this(which is fair enough and I'm interested in) we discovered that it would require an architect to 'sign off' the property for its change in purpose, i.e. to simply residential. Our house is not small so perhaps the charge is per Metre but the cost for the architect was mental. I mean it would take 25 years to save what would have to be paid out if the tax came down by half. SO we decided to live with the fact that we pay a fairly hefty tax by Bulgarian standards. No problem with that as we know where we stand. IF it was possible to change it in another way without such fees, then we would do it. Perhaps our issue is it is not simply down to a registration error, but the fact that property was initially built and used commercially and never changed by the previous owner(s).

BUT I digress somewhat. What I wanted to pick your brains over is....

What really is the point of Art 14 and 17? I think so far I have understood it was simply to update the municipalities records in case there had been a change of use etc, or extended building etc. If that is the case I understand why we had to declare what they already knew - Which was.... it's commercial and it consists x number of bedrooms bathrooms etc. Even though it is (used as) residential we were NOT allowed to declare as residential because the 'official' registration still holds it as commercial. I hope you followed that :) So if it was just method of ensuring their records were up to date then end of story, I kind of get it.

HOWEVER if this declaration is to somehow change the tax burden, why am I telling them something that isn't true i.e. it's commercial when actually it is Residential from a point of view of use. I know Bulgaria love paperwork so perhaps it was just to ensure people still had jobs, but I felt when we completed the art we were telling them just what they already had in their records and were not allowed to deviate from what they already had on their records. Making it completely pointless

Like I said if it was a means of 'just' updating their records in case of changes that the owner had made (either by building or by paperwork) then I can kind of get it.

SO ARE YOU 100% that these are one off forms? And when did they start? Just last year? AND when will it be necessary to complete an ART 14 again?

Sorry for the questions Owain you seem to know what you are talking about.

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Postby owain » Wed Jun 29, 2011 9:07 am

Hi booboo,
You've basically got the idea of this, more-so than most Municipalities :)
It is a one off registration,for now.The reason for it is to collect more taxes really. Many people have regulated land and were paying minimal taxes & now they're classed as commercial even if they're regulated for residential use. Because,although it's regulated as residential, it could be changed to commercial :roll:

The same applies to people like yourself.There's alot of Bulgarian's and foreigners living in property that is classed as commercial. You see many businesses here with living areas built in to them. Such as car washes, auto repair centres, scrap yards etc. Many of these have now been re-registered as commercial where they may have been registered as residential.

But, as you've found out, it's not so easy to change the status of the property from commercial to residential so it's cheaper and easier to carry on paying higher taxes rather than change the status.

You've basically got it right booboo, it's a bureaucratic, badly organised, misunderstood piece of legislation that has confused most individuals and Municipality staff which has been rushed through to collect more taxes :wink:

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Postby phoenix2b » Fri Jul 01, 2011 9:07 pm

ny case seems to be where the agent completed ACT17-whereas they are houses, infact-they are a pile of stones with some rough land-so i completed the docs, wrote a separate letter & emailed it all. I am over BG next week and will go to the tax office to get this cleared once and for all. i did wonder why the charge for these 2 properties, was so much moere then the one I reside in when I vist-and now I know!!
It does seem that if the local office are fully aware that it is a residential house,and no Art17 was ever completed, then no form is required, this time round.

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Postby fizzgiguk2001 » Sat Jul 02, 2011 9:23 am

Hi all

Bit of a long story ours but to cut it short we aquired / purchased a separate piece of land of 2000 sq m adjacent to our property through a solicitor in September 09 which went through fine, the same solicitor was acting for us with another property issue until March 10 which was all sorted without any problems then in September 10 after the JUNE Deadline we paid our property taxes and land tax for the new piece of land again no problems and no mention of any forms to fill in
We then came to pay our taxes this year! the property taxes were ok but were told that this new declaration needed to be filed with the municipality for the piece of land which is regulated and to my knowledge NON Commercial and has no building on it at all! We now understand that all land purchased pre 01.01.10 had to be re declared before June 10 and to the best of our understanding( a friend from a different municipality has the similar/same form to fill in!)all newly purchased, inherited, newly built property and land purchases have to have the same form filed with the municipality within 2months of their completion.

So with a young Bulgarian friend of ours we filled out the declaration and was told that we would have to pay a fine of between 500 and 3000 lv. The man in the municipality building said that the fine would be no more than 500lv but the form would have to be sent away and we would be informed as to the exact fine to be imposed. Feel a little aggrieved that
1.The man was the same man we had paid our tax to the previous year and had made absolutely No mention of the form
2. Our solicitor could have very easily advised on the declaration and filed it for us I mean we had paid quite a lot of money to them and they were still acting for us until the March of that year :evil: :evil:
3.Did'nt see the Post on here sooner My own fault

Well as many have said and it will be said for years to come Welcome to Bulgaria lol

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