Improved R&D incentives and electric vehicle tax stimuli introduced in Bulgaria

On 27 March 2026 amendments to the Bulgarian Corporate Income Tax Act (CITA) were published in the State Gazette, featuring improved tax incentives with respect to research & development (R&D activities), as well as tax stimuli for electric vehicles.

In addition to immediate tax deductibility, R&D investment OPEX will now allow taxpayers an additional deduction of 25% of these costs (so-called “super deduction”).

For more information on the amendments see our newsletter.