A situation is possible in which the activities of a Bulgarian company have been actually carried out in a previous month or accounting period, but due to the established reporting organization, invoicing has been carried out in the following month. In this case, the question arises to which period the invoiced company income and expenses refer. Continue reading “Invoicing period of company income and expenses”
Tag: enterprises
Accounting documentation when carrying out the activity of buying things by courier
When carrying out a transaction by courier in Bulgaria, a question arises about the documentary justification of the business operation. In order for the business operation to be documented, a primary accounting document must be issued, accurately reflecting the business operation. In this case, the costs incurred may be recognized as an accounting expense.
Declaring an asset sold by a non-trading company
In the situation of a sale of a company asset (e.g. a car) in a reporting period during which no commercial activity has been carried out in Bulgaria by a company, the question arises whether this company can be defined as a person that has not carried out activity within the meaning of the Law on accounting and whether it should declare the amount of the sale of the asset.
Continue reading “Declaring an asset sold by a non-trading company”
Changes in the deadlines for filing annual tax returns (ATR) and for publishing annual financial statements (AFS)
From the beginning of 2021 in Bulgaria the deadline for filing annual tax returns (ATR) for corporate tax (until March 31) has been changed, and the new deadline is now from March 1 to June 30. The same applies to the deadline for payment of corporate tax, which has been changed by 3 months and is now until June 30.
The deadline for paying tax on expenses has also been changed by three months and is now until June 30.
The change in the deadlines optimizes the preparation of the annual tax returns of the companies and improves the process of annual accounting closing. Systematic and predictable consistency in the fulfillment of the obligations for declaring and submitting information to the National Revenue Agency is also achieved. Continue reading “Changes in the deadlines for filing annual tax returns (ATR) and for publishing annual financial statements (AFS)”
Announcement of an annual financial report
What is an annual financial report?
The annual financial report gathers full information about the financial position of the company. It includes a statement for revenues and expenses, a balance sheet, a statement for share capital and a cash flow statement.
The financial report is drawn up for one financial year, coinciding with the calendar year – from January 1st to December 31st. E.g: If you have a company created on 01.12.2020, you need to submit a report on the activity carried out in 2020 – in this case only one month.
Who is obliged to announce an annual financial report?
All the traders according to the Bulgarian Commerce Act – this includes Limited Liability Companies (Ltd.), Limited Partnerships, General Partnerships, Joint-Stock Companies, Limited Partnerships with shares. The non-profit legal entities and the rest enterprises are also obliged. Continue reading “Announcement of an annual financial report”