Update - Bulgarian Tax Reform Bill for 2016 Submitted to Parliament

On 13 October 2015, the Bulgarian Council of Ministers approved and submitted the tax reform legislation for 2016 to the National Assembly. The main measures include:

• Implementation of the amendment to EU Parent-Subsidiary Directive that denies the participation exemption if a distribution received is tax deductible for the distributing subsidiary or otherwise reduces the tax base of the subsidiary;
• The introduction of regional State aid rules in line with the EU guidelines, including that r…