Municipalities across Bulgaria have initiated increases in local taxes and fees, with several municipal councils incorporating changes to the Ordinance on determining the amount of local taxes into their meeting agendas. Dobrich’s municipal councilors were the first to act, approving hikes in property and car taxes, as well as fees for taxi transport licenses within the municipality.

Under the Law on Local Taxes and Fees, municipal councils are responsible for setting the levels of local taxes through ordinances, following the guidelines and limits established by the law. For instance, the real estate tax rate in Dobrich is set to rise from 1.3 per thousand to 2.5 per thousand based on the property’s tax assessment. This increase translates to an additional 22.82 leva for a 500 sq.m property, 13.73 leva for a one-story dwelling with a built-up area of 100 sq.m, and 11.41 leva for properties in the third zone, with lesser increases for other zones. Car taxes will also see an increase, though only for higher-powered vehicles.

In Kazanlak, starting next year, local taxes will rise primarily affecting owners of vehicles, vessels, or aircraft, as well as those in the service industry, including restaurateurs, hoteliers, and taxi drivers. The most significant increases will apply to the tourist and patent taxes. Proposed amendments in Kazanlak also include changes to real estate, inheritance taxes, and property acquisition taxes by donation and sale, with the real estate tax rate increasing from 1.5 per thousand to 2.5 per thousand.

Nova Zagora’s Municipality has released changes to its Ordinance on determining local taxes for public discussion. The current residential property tax of 3.8 per thousand will be increased to 4.5 per thousand, while non-residential properties will see their tax rate rise from 3 per thousand to 4 per thousand. Similarly, Haskovo is proposing an increase in local real estate taxes from 2 per thousand to 2.5 per thousand based on the property’s tax assessment. Additionally, the real estate acquisition tax will rise from 2.6 per thousand to 3 per thousand on sales, with taxes applied to the more expensive property during exchanges.

Dupnitsa is also considering tax hikes, proposing an increase in the real property tax from 2.50 per thousand to 3.50 per thousand based on the property’s tax assessment. This tax has remained unchanged for the past five years. Furthermore, the garbage fee is set to rise from 4.50 per thousand to 5.90 per thousand in Dupnitsa, alongside increases in the patent tax and taxi driver fees.

These changes reflect a broader trend of municipalities adjusting their fiscal policies to address local budgetary needs, impacting property owners, vehicle owners, and various service industry professionals across different regions in Bulgaria.