Joined: Aug 08, 2008 Posts: 1707 Location: Varna Region
Posted: Fri Mar 26, 2010 11:22 am Post subject:
I'm with Lee on this one, although with a lean towards Slaphead. The only problem may be that you have another company. If they can seek some retribution for you just ignoring the first one and letting it slide into oblivion, it may come back to haunt you with the second one.
gimlet said...
Quote:
Now the Accession Treaty has modified things, but that can only be relied on to help those who live, work or carry on a business in Bulgaria: otherwise the prohibition on foreign land ownership lives on in the "second home" derogation.
Have I missed something? Have the notaries finally, universally, accepted that I, as a long term resident of Bulgaria, with no other properties worldwide, can own my own home (with land) here, now? Admittedly, I haven’t approached one recently but I thought that (apart from the odd case that one hears about) it was impossible as they had closed ranks. Or, are you talking about some ill-defined date in the future?
I yearn for the day that my company can sell my partner and I one home each (they'll find some rule against that, no doubt) and we can settle all the company accounts for that year and get rid of this ludicrous millstone by de-registering, no matter what the cost (well, perhaps not, if I can submit all the subsequent nil tax returns, statement of accounts, etc. for free (or 52 leva), ad infinitum).
Trying to de-register non trading company without paying a fortune. Has anyone done this successfully ( near Varna) and how much was the cost? There must be lots of unused companies out there who's owners fail to re-register hoping there will just seize to exist if they don't get put on the new register. But I hear conflicting advice about this some think there may be heavy fines to pay. Anyone got any updates on this?
At the end of year 2010, Bulgarian parliament adopted a number of changes in the Corporate Income Tax Act (CITA), some of which will have a significant beneficial effect on cross-boarder transactions.
.......................
Assets distributed as a dividends or liquidation quotas
According to the new regime, assets distributed as dividend or liquidation quotas will be considered as sold at market prices and will form part of the taxable income.
That would seem to block any tax free return of capital on winding up of a company. In UK you can use the return of capital method if you play your cards right. Presumably you could do it in Bulgaria up till now or they would not have introduced this change.
There are also other changes which mean that non-residents who receive rents from Bulgarian residents will receive them net of a witholding tax. That seems to be in line with the treatment of rents paid by UK residents to non-residents.
But if you are receiving rents from Bulgaria expect your income to go down!
Joined: Jun 09, 2005 Posts: 5204 Location: inbulgara.EU
Posted: Wed Jan 19, 2011 6:36 am Post subject:
Is it still on that 2012 will be the date that you don't need a company to own land? Anyone know what the procedure will be to transfer assets to the owners?
.There are also other changes which mean that non-residents who receive rents from Bulgarian residents will receive them net of a witholding tax. That seems to be in line with the treatment of rents paid by UK residents to non-residents.
The UK authorities have a non-residents landlord scheme that enables the payment of rents to non-resident landlords gross. That's possibly a little tangential to the thread, apologies.
Joined: Aug 08, 2008 Posts: 1707 Location: Varna Region
Posted: Wed Jan 19, 2011 12:41 pm Post subject:
Lee, I would assume that it would be like someone from the UK currently owning property here and selling it to a Bulgarian. Your company will sell it to you. The fact that you are associated with the company won't have any bearing on it, I would guess. Presumably, if that is the only asset, then you'll want to wind down the company which, again, will probably be no different to what it is currently (expensive and drawn out, of course). The truism is still the same. Find yourself a good lawyer and accountant.
In that regard, about a year and a half ago, when we tackled a notary (via an interpreter) about this nonsense of requiring a company they said that it would change from January, 2011. We didn't argue the point.
As an aside, I wrote to the EU a couple of months ago because of a piece of their literature that explicitly stated that as a (EU member citizen) resident (in Bulgaria) you could buy property directly and I pointed out that wasn't (didn't appear to be) the case and asked for some definitive statement in that regard. They requested more information (e.g. "who is not letting you buy the property") which I supplied but have yet to hear from them since.
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