Foreign Buyers of Bulgarian Property Must re-Register Companies by Year End

Foreign Buyers of Bulgarian Property Must re-Register Companies by Year End

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Bulgaria

balchik-bulgaria Many foreigners who bought property in Bulgaria during the boom in 2008 are — in many cases unknowingly — at risk of losing their property. As foreigners can’t buy land, or property with land (including houses, villas, and even some apartments) in Bulgaria in their own name, it is common for foreigners to register a Bulgarian company and buy property through that.

But what many people don’t know is that under Bulgarian commercial law such companies must re-register every 2 years. Any company that doesn’t re-register is removed from the Bulgarian Registry and put into liquidation.

Bríd Doherty of DG International Tax warns that if those who bought in 2008 don’t do so before December 31st they will lose their property or properties as the company is stripped of its assets, and they will also be required to pay the administrative costs of the liquidation. Sickened.

According to Tzvetanka McFadden, a Bulgarian who runs Imoti Bulgarian Properties in Dublin, concern is mounting that many could fail to meet the deadline. For further information contact Imoti Bulgarian Properties at info@ibp.ie or DG International Tax on info@dgitax.com

Photo credits: KLMircea via Flickr