Bulgaria Closes Duty-free Stores

Business | March 20, 2008, Thursday // 00:00
Bulgaria: Bulgaria Closes Duty-free Stores Bulgarian parliament decided Thursday to close the duty-free shops in the country. Photo by Yuliana Nikolova (Sofia Photo Agency)

Bulgarian parliament decided Thursday to close the duty-free shops in the country after adopting at first reading some amendments in the law concerning that kind of trade law.

From now on these market places could be managed by foreign partners, or they could continue to function by including duties, excise taxes, and VAT in their prices.

Goods with excise label could be sold in the duty-free shops for three months after the legal changes come into force.

The governing coalition took this decision after the European Commission criticized Bulgaria for failing to achieve progress in the fight against corruption and organized crime in its interim report. The EC pointed explicitly to the duty-free stores on Bulgaria's external EU borders as pockets favoring and aiding organized crime activities.

The government approved the coalition's decision to close the duty-free stores on February 13 with a special bill tabled by Finance Minister Plamen Oresharski.

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