The properties in Bulgaria are subject to annual taxation. The owner who is not resident of Bulgaria but owns a property in Bulgaria should check every year in the local Municipality at location of the property the amount of the property taxes due, although the municipality is sending an invoice/notification to the address of every owner about the amount of property tax fee due for the last year till April of the next year. However, if the owners have no address in Bulgaria, they could not understand about the amount of the annual tax. In this situation we strongly recommend the foreign owners to check every year in the Municipality what is the respective tax fee and to pay till the end of the year.

In case of non-payment of taxes which is paublic obligation, the Municipality has the right to contact a private or public bailiff who starts an executive procedure for collecting the debt, as the debt is being increased by the bailiff`s fees, the legal interest calculating per each day of delay as well as, eventually, by the fee of the municipality's legal council. It is very possible the debtor not even to understand about the executive case as because of not having address in Bulgaria.

However, the bailiff is entitled, if the debtor does not have bank accounts or other assets in Bulgaria, to start a direct execution on the property and even to sell it on a public sale for a very minor purchase price on its tax evaluation.

“Valova and Angelova” law firm