New DTAT between Bulgaria and Romania

UniCredit Bulbank AD
Tue, 04/10/2016

The text of the new Double Taxation Avoidance Treaty between Bulgaria and Romania was promulgated in the State Gazette.   

                                                                                                                                                                                    

The new Double Taxation Avoidance Treaty (DTAT) provides, among others, the following withholding tax rates that shall be applicable to income received after 1 January 2017:

1)     Dividend income:

  • 5%;

2)     Interest income

  • 5%;
  • 0%, if the interest is paid to the other contracting country, any local state administration unit or local state authority, the Central Bank, any agency, bank or institution of the other country or any resident person whose debt claims are guaranteed, insured or financed by a financial institution wholly owned by the other country.                           

The DTAT also includes provisions for the exchange of information in accordance with international standards.

 

Contact

Kristina Spasova

Relationship Manager, GSS Bulgaria

kristina.spasova@unicreditgroup.bg