Brain Storm Consult provides to its clients cooperation at any stage of the VAT-refund procedures. It is in compliance with your actual and individual needs. You will receive help for the compilation of all compulsory documents and would be able to count on professional advice in the field of VAT refund. The control on all specific requirements and conditions will save you time and efforts.
For your facilitation, below we have answered the most frequently asked questions regarding VAT refund.
Who can refund VAT paid abroad?
а) VAT may be refunded from EU if you are a company registered under the VAT Act in Bulgaria.
b) You have invoices issued from EU companies, where VAT has been calculated.
c) VAT is refunded for purchased goods and/or services for which your company would have had the right of tax credit if such goods and/or services had been purchased in Bulgaria.
Criteria for the right of VAT refund?
а) The entity refunding VAT for purchased or received goods or import, should be VAT registered in Bulgaria.
b) The entity refunding VAT, should not have performed deliveries of goods and services with place of execution on the territory of the Member State of refund during the period of refund, with exception of transportation and supplementary services, constituting free deliveries with the right of tax credit or taxable by zero rate and/or deliveries for which the recipient is an entity paying the tax, according to the law of the Member State of refund.
c) The right of refund is available where the tax liable entity – applicant uses the goods or services for taxable deliveries or for taxable and non-taxable deliveries entitling the entity to partial refund.
d) Minimum thresholds of refund – this threshold is different in each Member State.
e) The entity refunding VAT for purchased goods, received services or import carried out by such entity, should meet the conditions of the Member State of refund.
How is VAT refunded?
By submitting a request for refund of the value added tax to the relevant tax administration of the country where the tax has been accrued.
The request is submitted electronically, signed by qualified electronic signature, to the competent authority for the refund in the Member State of the refund,
using a WEB-based application created for that purpose on the website of NRA
Is there a deadline for submission of a request for VAT refund?
Yes, the request must be submitted by 30 September of the calendar year following the year in which the right of tax refund has occurred, at the latest.
The period for which tax refund is performed, is a calendar quarter and/or calendar year (maximum one person may submit five requests for refund – four for the four calendar quarters and one for the calendar year).
Who submits a request for VAT refund?
The application and notification may be submitted to NRA by the manager of the beneficiary company or by another explicitly authorized person.
How long does receipt of the money take?
The Member State of refund notifies the applicant of its decision to approve or reject the application for refund within four months as of its receipt by the relevant Member State. In case of approval of the application, the approved amount is paid by the Member State within 10 working days after expiration of the deadline indicated in Art. 19, Par. 2 or if additional or new additional information is required – after expiration of the deadlines indicated in Art. 21.
For more information you can use the form “Submit inquiry” or write us at firstname.lastname@example.org or contact us at +359 2 80 99 776