Bulgaria vs Germany
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
๐ฐ Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country โ side by side.
๐ง๐ฌ Bulgaria โ Municipal Taxes
Bulgaria's 265 municipalities set local tax rates within nationally defined bands. Property tax (danuk varhu nedvizhimi imoti) is levied at 0.01%โ0.45% of the property's tax value (set by municipalities). Vehicle tax and patent tax for micro-enterprises are also locally determined. Sofia Municipality applies higher property tax coefficients than rural areas. Bulgaria has the EU's lowest flat income and corporate tax rates at 10%, making it a competitive jurisdiction for businesses.
๐ฉ๐ช Germany โ Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 Bundeslรคnder apply federal income tax rates uniformly โ no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7โ17% effective. Church tax (Kirchensteuer) of 8โ9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
Bulgaria vs Germany: Key Tax Differences (2026)
๐ฐ Income Tax: ๐ฉ๐ช Germany has a higher top income tax rate (10% vs 14โ45%). ๐ง๐ฌ Bulgaria is more favourable for high earners.
๐ VAT/Sales Tax: Bulgaria has a higher consumption tax (9โ20% vs 7โ19%).
๐ข Corporate Tax: ๐ง๐ฌ Bulgaria offers a lower corporate rate (10% vs 29%), which can influence business location decisions.
๐ Capital Gains: ๐ง๐ฌ Bulgaria taxes investment gains at a lower rate (10% vs 25%), benefiting investors.