Ad
Sofia statue - Bulgaria recently revised its 2009 budget deficit to 3.9 percent of the gross domestic product from an earlier estimate of 1.8 percent (Photo: sludgegulper)

Bulgaria mulls VAT increase to plug fiscal gap

The government is planning to temporarily raise Bulgaria's 20 percent flat-rate value added tax (VAT) by up to 4 percent in a bid to bridge a budget gap that has thwarted the new EU member's efforts to join the euro in the near future.

"A big hole is gaping in the budget and it can be plugged only if revenues are increased," Prime Minister Boiko Borisov said after unveiling the plan. It was not immediately clear when the government would submit the plan to parliament.

Mr Borisov d...

Get EU news that matters

Back our independent journalism by becoming a supporting member

Already a member? Login here
Sofia statue - Bulgaria recently revised its 2009 budget deficit to 3.9 percent of the gross domestic product from an earlier estimate of 1.8 percent (Photo: sludgegulper)

Tags

Ad
Ad
Ad