Text size

Interim Finance Minister promises no tax or social contribution increases in 2025

Ministry of Labour and Social Policy proposes increase in the pension insurance contribution

published on 11/18/24 4:46 PM

Lyudmila Petkova

Photo: BTA

Deputy Prime Minister and Finance Minister Lyudmila Petkova has pledged that there will be no increase in social contributions, corporate or personal income taxes in 2025. The Covid-19 pension supplements will not be discontinued and the budget deficit for 2025 will remain within 3% of GDP, fulfilling the requirements for Bulgaria's entry into the eurozone.

Budget revenues will be boosted by an increase in excise duties on cigarettes, a review of whether VAT on bread should remain at 0%, a restoration of other VAT to its pre-pandemic level of 20%, and more efficient collection of tax and social contribution arrears.

Meanwhile, the Ministry of Labour and Social Policy has published an analysis of the mandatory pension insurance system on its website. The report proposes a number of measures, including an increase in the pension insurance contribution rate and the abolition of the EUR 30 COVID-19 supplement for new pensioners.

Последвайте ни и в Google News Showcase, за да научите най-важното от деня!

Radio Bulgaria News 2025 labour and social policy ministry of finance pensions social contribution tax increases

More from category

Cabinet to reallocate security service cars to President’s administration

The Council of Ministers has proposed transferring vehicles from the National Security Service (NSO) to the Presidential Administration through a legislative change, Bulgaria National Radio reporter Tsvetelina Stoyanova reported. This would not put a..

published on 10/24/25 2:04 PM

Regular flights from Sofia to the US expected from spring 2026

The first regular direct flights between Bulgaria and the United States are expected to begin in April 2026, Transport and Communications Minister Grozdan Karadzhov said during the national discussion “Tourism and Air Connectivity: Traditional..

published on 10/24/25 1:45 PM

The sale of Lukoil’s assets in Bulgaria will take place only after a decision by the Council of Ministers and approval from DANS

Bulgaria’s National Assembly approved at second reading amendments to the Investment Promotion Act. Under the changes, the assets of the Russian company Lukoil in Bulgaria can be sold only after a decision by the Council of Ministers and following a..

published on 10/24/25 12:04 PM