Bulgaria Cracks Down on Online Traders and Influencers in Tax Evasion Sweep

Bulgaria's National Revenue Agency (NRA) has increased its scrutiny of individuals involved in online trading and content creation. In the first half of 2024, 144 audit cases and 2,615 inspections were assigned to 129 e-traders, revealing discrepancies that led to additional tax and social security liabilities amounting to 67.6 million leva. The inspections also targeted influencers who generate income from social media platforms through advertising, with a focus on YouTubers, vloggers, and independent journalists. By mid-2024, the tax authorities had assigned 30 audit proceedings to popular internet personalities, 15 of which were completed. In 13 of these cases, undeclared income was identified, leading to voluntary declarations of income totaling about 80,000 leva in taxes and social security contributions.

In addition to monitoring online traders, the NRA has conducted thorough inspections of individuals owning luxury cars and expensive properties. A total of 551 luxury car owners were examined in the first half of the year. Of the 474 inspections completed, discrepancies were found between the reported income and the expensive vehicles owned, with liabilities totaling 5.15 million leva. Some individuals took corrective action by submitting updated declarations and paying the required taxes, while others faced administrative penalties. Inspections also extended to those leasing high-priced vehicles, with 57 cases reviewed and tax liabilities of 275,000 leva established for five individuals. Furthermore, tax audits were carried out on 400 Bulgarians who purchased properties worth over 750,000 leva between 2019 and 2022, uncovering 1.836 million leva in undeclared income.

The NRA's efforts to ensure accurate income reporting extend to individuals...