Big Tax Increases for 2025! See What’s Changing in Your Municipality

Several Bulgarian municipalities have adjusted their local taxes and fees for 2025, with some opting for increases, while others have maintained their existing rates. These decisions, impacting municipal revenues, are seen as vital for funding social initiatives and investment projects.

In Plovdiv, the municipality has begun collecting four local taxes for 2025, including vehicle tax, patent tax, passenger taxi transportation tax, and tourist tax. Authorities confirm there have been no changes to their amounts. As stipulated by the Law on Local Taxes and Fees, vehicle tax can be paid in two equal installments by June 30 and October 31, respectively, with a 5% discount available for full prepayment by April 30. Similarly, the patent tax is payable quarterly, with deadlines on January 31, April 30, July 31, and October 31, and offers a 5% discount for annual prepayment by January 31. Taxes related to taxi passenger transportation must be settled before obtaining the necessary permits, while the tourist tax must be paid by the 15th of the month following the provision of overnight stays.

In Pleven, the municipal council has decided to retain the current waste collection fee rates, unchanged since their establishment in 2015. For residential and non-residential properties, the fee remains at 1.494 per thousand of the tax assessment, while non-residential properties of companies are charged 4.814 per thousand of the higher of the reporting value or tax assessment. The estimated costs for waste collection and disposal in 2025 amount to 5.2 million leva, while overall expenses for maintaining public cleanliness total 13.62 million leva. The municipality anticipates 8.5 million leva in revenues from waste fees, with the remaining deficit to be covered by other local revenues.

In Yambol, property taxes have increased to 2.5 per thousand for both residential and non-residential properties, up from 1.98 per thousand, marking the first adjustment since 2012. The municipal council also approved a budget for cleanliness and revised garbage fee rates. Mayor Valentin Revanski noted the development of a Detailed Development Plan for municipal properties to accommodate social, recreational, and residential infrastructure.

In Varna, household waste fees have been increased by over 50%, with revenue projected at 40 million leva, up by 14 million leva compared to the previous year. This will support the municipality's cleanliness budget of 47 million leva, as well as additional cleaning activities and waste removal initiatives. Around 3 million leva will be invested in constructing a new landfill cell to address capacity concerns. Stricter enforcement measures will target illegal waste disposal by businesses and citizens.

In contrast, Vidin has opted against raising local taxes and fees for 2025, focusing instead on optimizing expenses. The municipal council approved a smaller expenditure plan by over 170,000 leva, emphasizing waste management efficiency and promoting separate waste collection. Additionally, funds were allocated for engineering geological surveys and control system improvements at the Regional Municipal Waste Landfill. Vidin’s long-term plans also include promoting renewable energy use and energy efficiency, with initiatives extending to 2034.

Source: econ.bg