Law Amending And Supplementing The Law On Value Added Tax

Original Language Title: Закон за изменение и допълнение на Закона за данък върху добавената стойност

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Name of the law amending and supplementing the law on value added tax act Name of Bill a bill amending and supplementing the law on value added tax acceptance date 07/11/2013 number/year Official Gazette 101/2013 Decree No 226

On the grounds of art. 98, paragraph 4 of the Constitution of the Republic of Bulgaria

I DECLARE:

To be published in the Official Gazette the law amending and supplementing the law on value added tax, passed by the National Assembly of HLIÌ 7 November 2013.

Issued in Sofia on 19 November 2013.

The President of the Republic: Rosen Plevneliev

Stamped with the State seal.

Minister of Justice: Zinaida Zlatanova

LAW

amending and supplementing the law on value added tax (official SG. 63 06; amend., SG. 86, 105 and 108 of 2006; the Decision the Constitutional Court No 7 of 2007 – issue 37 of 2007; amend., SG. 41, 52, 59, 108 and 113 in 2007, 106/2008 12/23, 74 and 95 from 2009. , PC. 94 and 100 by 2010, PC. 19, 77 and 99 from 2011, issue. 54, 94 and 103 from 2012 and St. 23, 30, 68 and 98 by 2013)

§ 1. In art. 6 make the following amendments and additions:

1. In paragraph 8. 2 item 3 shall be replaced by the following: "3. the actual provision of goods under a contract for leasing, which expressly provided for the transfer of ownership of the goods; This provision shall also apply where, in the leasing contract is an option only for the transfer of ownership of the product and the sum of the contributions payable under the contract for leasing, with the exception of interest under art. 46, para. 1, item 1 is identical to the market price of the goods at the date of the grant; ".

2. in the Al. 3 item 1 shall be amended as follows:

"1. the release or provision of goods for personal use or use of the taxable person, the owner, its employees or for purposes other than the independent economic activity of the taxable person, provided that the production, importation or acquisition is deducted entirely or partially tax credit;".

3. a para. 5:

"(5) shall not be deemed as a delivery of goods for the purposes of this law, the passage of the right of disposal of the Pledger to bet a creditor within the meaning of art. 32, para. 4 of the law on pledge. "

§ 2. In art. 9, para. 3 paragraphs 1 and 2 shall be read with the following adaptations:

"1. the provision of a service for the personal needs of the taxable person, the owner of the employees or for purposes other than the independent economic activity of the taxable person, in which the product is used in the manufacture, importation or acquisition of which is deducted entirely or partially tax credit;

2. granting of service for personal needs of the tax liable natural person, the owner of the employees or for purposes other than the independent economic activity of the taxable person; ".

§ 3. In art. 10 para. 1 item 5 is created:

"5. the provision for the use of the property by the State/municipalities/applicants for the needs of private kindergartens, schools, and kindergartens and schools with foreign participation in the Education Act, and their subsequent migration to the State/municipalities/applicants in the event of the closure of kindergartens and schools."

§ 4. In art. 16, al. 3 the words ' countries or ' shall be deleted.

§ 5. Art is created. 20A:

"The place of performance for supplies of goods and services of the border combined bridge Vidin – Calafat"

Art. 20. (1) the place of performance of delivery of a service for which a fee is charged for crossing the Border combined bridge Vidin – Calafat, is:

1. the territory of the Republic of Bulgaria, when the direction of travel is from Bulgaria to Romania;

2. the territory of Romania, when the direction of travel is from Romania to Bulgaria.

(2) for the purposes of determining the place of performance of delivery of goods or services, intra-Community acquisitions and imports of goods, maintenance or repair of the border combined bridge Vidin – Calafat ", it is assumed that the middle of the bridge is the territorial border between the Republic of Bulgaria and Romania. The supply of goods or services, intra-Community acquisition and importation of goods related to the maintenance or repair of the part of the bridge on the territory of the Republic of Bulgaria, with a place of performance on the territory of the country. The supply of goods or services, intra-Community acquisitions and imports of goods, maintenance or repair of the part of the territory of Romania, with place of performance on the territory of Romania. "

§ 6. In art. 26 the following amendments and supplements shall be made:

1. Paragraph 7 shall be amended as follows:

"(7) where remuneration is determined wholly or partly in goods or services, without party to accord him monetary terms, the taxable amount of each supply at the date of occurrence of the tax event is the tax base on the acquisition or production cost of the product and, in the case of imports – the taxable amount on importation or on the direct costs of performing the service provided. When the tax base can not be determined in this order, the tax base is the market price. "

2. a new paragraph. 8:

"(8) in the cases under art. 27, al. 3, item 1, the taxable amount of each supply referred to in paragraph 1. 7 the date of occurrence of the tax event is the market price of the underlying commodity or service. "

3. The current paragraph. 8 it al. 9.

§ 7. In art. 27 the following amendments and supplements shall be made:

1. Paragraph 2 shall be replaced by the following:

"(2) the tax base of the delivery of services under art. 9, para. 3, items 1 and 2 is the sum of the direct costs associated with the operation. The tax base of the delivery of services under art. 9, para. 3, item 3 is the sum of the expenditure incurred for direct costs, reduced by the cost of obsolescence in mind normal economic life of the improvement, and if unable to establish the amount of the direct costs, the tax base is the market price. "

2. in the Al. 3 section 2 is repealed.

3. a para. 5:

"(5) the tax base of the delivery of goods and/or services under art. 111, down to the beginning of the month in which the suspended the registration of the person's tax basis at acquisition or cost price of the goods and, in the case of imports – the taxable amount on importation or on the direct costs for the acquisition of service, reduced by the cost of obsolescence in mind normal economic life of the good or service. When the tax base can not be determined in this order, the tax base is the market price. "

§ 8. Art is created. 36A:

"Delivery of import-related services art. 36. (1) Leviable with zero rate shall be the delivery of import-related services, such as Commission, packing, transport and insurance, when their value is included in the taxable amount under art. 55.

(2) the Leviable with zero rate shall be the delivery of processing, processing or repair when formed the tax base under art. 55, para. 3 upon importation of goods which are temporarily exported from the territory of the State to a place outside the territory of the European Union under the Customs outward processing procedure and introduced a twist-but within the territory of the country.

(3) where, prior to the occurrence of the circumstances under para. 1 and 2 for the delivery document is issued with a tax rate under art. 66, para. 1, item 1, the amount of tax charged is correct:

1. for invoices and notifications – by the order of art. 116;

2. for protocols in the order issued –, determined by the regulation for implementation of the law. "

§ 9. In art. 39, item 5 the word "dentists" is replaced by "dental medicine".

§ 10. In art. 55 al. 1 shall be amended as follows:

(1) the taxable amount on importation under art. 16 is the customs value, plus, in so far as they are no longer included in it: 1. taxes, duties, levies and charges due outside the country, and customs duty, excise duty and other charges payable upon import of the territory of the country;

2. the costs of the Commission, packing, transport and insurance incurred up to the first destination of the goods on the territory of the country. "

§ 11. In art. 58 the following modifications are made:

1. In paragraph 8. 1 item 5 shall be amended as follows:

5. products of sea-fishing, derived outside the territorial waters of the European Union, where products are imported into the ports in the unaltered state or after processing for storing marketing before being delivered. "

2. in the Al. 14:

a) point 12 shall be replaced by the following:

12. import coffins containing the bodies of the deceased, and urns containing the ashes, as well as the flowers, funeral wreaths and other ornamental objects normally accompany them; "

(b) in paragraph 21) the word "Prosthetics" is replaced by "typing".

§ 12. In art. 63 Al is created. 6:

"(6) in the case of delivery with continuous performance of goods under art. 13, para. 1-3 with the žitelnost extension for a period longer than one calendar month, the chargeable event shall occur at the end of each calendar month for the calendar month of cessation of supply the chargeable event shall occur on the date of termination of supply. "

§ 13. In art. creates 64 para. 5:

"(5) in the deliveries under art. 63, para. 6 taxable amount for each calendar month shall be established in proportion to the number of days included in the relevant calendar month, relative to the total number of days of shipment, including the days of the month of cessation of supply. "

§ 14. In art. 68 Al is created. 6: "(6) the right of tax credit deduction received for the supply of goods or services for which it has been applied to the special arrangements for cash accounting of value added tax, arises when the subject of tax deduction becomes chargeable."

§ 15. In art. 71 create item 8 and 9:


"8. possesses a tax document under item 1 and document the payment made by bank transfer, including through credit transfer, direct debit or money transfer, made available by the payment service provider within the meaning of the law on payment services and payment systems, or by postal money order, carried out through licensed postal operator to perform postal money transfers within the meaning of the Act on postal services , and a protocol under art. 151 c, para. 8 – supply where the supplier apply Chapter Seventeen "and";

9. has tax document under item 1 and document the payment made by bank transfer, including through credit transfer, direct debit or money transfer, made available by the payment service provider within the meaning of the law on payment services and payment systems, or by postal money order, carried out through licensed postal operator to perform postal money transfers within the meaning of the Act on postal services , and has issued a protocol under art. 151 d, para. 8 – supply where the supplier has not applied to Chapter Seventeen. "

§ 16. In art. 75, para. 2 the word "three" is replaced by "twelve".

§ 17. In art. 77, para. 2 the word "three" is replaced by "twelve".

§ 18. In art. 80, al. 2, paragraph 3, the words "established standards, instructions and other regulations" are replaced by "legal act or corporate standards and benchmarks as".

§ 19. In art. 92 following amendments and supplements shall be made:

1. In paragraph 8. 1, item 1, the words ' the date of submission of the reference-Declaration ' shall be replaced by ' until the end of the calendar month of submitting the reference-Declaration ".

2. Paragraph 6 is hereby repealed.

3. in the Al. 8 the words "para. 3 – 6 ' shall be replaced by "para. 3-5.

4. a para. 11:

"(11) in the cases referred to in para. 3 when given the check tax is set off or recovered within 30 days and, if assigned revision tax is set off or recovers fully, or partially, within 30 days of the service of the order for a revision in the amount representing the difference between the declared tax refund and the amount of taxes and compulsory social security contributions, which are expected to be reasonably ascertained upon revision. The Act which is refunded or refused the refund review, appeal by the order of the tax-insurance procedure code provided for the appeal of precautionary measures. For non-reimbursed portion of the declared tax refund applies for al. 8. "

§ 20. In art. Al 111. 3 shall be amended as follows:

"(3) the tax under para. 1 shall be included in the result for the last tax period, shall be declared in accordance with the procedure and within the time limit under art. 125 and is deposited within the time limit under art. 89. "

§ 21. In art. 118, para. 3 creating the second sentence: "in the case of sales of goods through fiscal devices, embedded in machines for self-service, the fiscal Bonn, registering sale shall be displayed only on display, without issuing a paper document.

§ 22. In art. 121, para. 1 Finally a comma and add "in their original form.

§ 23. In part 8 creates a seventeenth chapter "a" with art. 151 a-151 (e): "Chapter Seventeen a

SPECIAL SCHEME FOR CASH ACCOUNTING OF VALUE ADDED TAX

General

Art. 151. (1) Registered under art. 96, 97 and article. 100, para. 1 persons may apply special arrangements for cash accounting of value added tax, hereinafter referred to as the "special regime", when you meet the following conditions simultaneously: 1. have a taxable turnover not more than the equivalent in LEVs of 500 000 euros, carried out for a period not exceeding 12 consecutive months prior to the current month; Taxable turnover shall be determined by the procedure of art. 96;

2. do not have revision Act entered into force in accordance with art. 122 of the tax-insurance procedure code and/or responsibility by the procedure of art. 177;

3. do not have exigible and unpaid tax liabilities and obligations for insuring instalments on acts have entered into force, and in the presence of such obligations have provided their security or has been granted permission for deferral or rollover.

(2) in the application of the special arrangements for the deliveries, for which the chargeable event occurs, the tax shall become chargeable on the date of receipt of full or partial payment, in proportion to the payment. The arrangement shall apply to all deliveries of goods or services with the exception of: 1. the importation of goods;

2. intra-Community acquisitions of goods;

3. intra-Community supplies of goods;

4. supplies to unregistered persons under this Act;

5. exempt supplies;

6. supplies with a place of performance outside the territory of the country;

7. the supply of services with a place of performance on the territory of the country for which the tax is exigible from the recipient of the delivery;

8. deliveries under leasing contract under art. 6, al. 2, item 3;

9. supplies in respect of which the applicable part 8, with the exception of this chapter;

10. supplies of goods and services for which the fee shall not be paid by bank transfer, including through credit transfer, direct debit or money transfer, made available by the payment service provider within the meaning of the law on payment services and payment systems, or by postal money order, carried out through licensed postal operator to perform postal money transfers within the meaning of the Act on postal services;

11. leviable delivery with zero rate, in chapter three;

12. supplies between related persons;

13. the leviable deliveries, for which prior or on the date of occurrence of the tax event full payment is made on delivery, including the tax under this law.

(3) for the application of the special arrangements shall be granted permission by the bodies of the National Revenue Agency.

(4) For obtaining permission for the application of the special arrangements on Al's face. 1 submitted to the competent territorial Directorate of the National Revenue Agency a written request form, determined by the regulation for implementation of the law. The request for application of the special arrangements shall be made pursuant to an application under art. 101.

(5) within the time limit under art. 101, para. 6 and 7, the revenue body shall check and issue the Act by which confirms or reasoned refused authorisation for the application of the special arrangements. The authorisation shall be issued on the date of notification of the Act under art. 101, para. 7.

(6) the National Revenue Agency refused to issue a permit under paragraph 1. 5 if it finds that any of the conditions referred to in paragraph 1. 1 is not met.

(7) the National Revenue Agency may refuse to grant an authorisation under paragraph 1. 5 if it finds that there is no circumstance under art. 176. (8) the persons referred to in para. 1 applying the special scheme, the National Revenue Agency shall establish and maintain a special public register, which is part of the register under art. 80, al. 1 of the tax-insurance procedure code.

(9) the revenue body shall enter a person in the special public register under para. 8 on the day of issue of the authorization for the application of the special arrangements.

Application and termination of the special regime

Art. 151 (b). (1) a person authorised under art. 151 (a), para. 5, special arrangements apply from the first day of the month following the month of receipt of the authorization.

(2) when the conditions under art. 151 (a), para. 1 are met, the person authorized for the application of the special arrangements, you can take action to terminate the application of the system after the expiry of 12 months from the month following the month of issue of the permit.

(3) where any of the conditions under art. 151 (a), para. 1 is not available, the person authorized for the application of the special arrangements, take action to terminate the application of the system.

(4) to terminate the application of the special arrangements pursuant to para. 2 and 3, the person shall submit to the competent territorial Directorate of the national revenue agency request to terminate the application of the special arrangements on the pattern, determined by the regulation for implementation of the law. In the cases referred to in para. 3 the request shall be submitted within 7 days of the occurrence of the circumstances.

(5) for the termination application of the special arrangements in terms of art. 109, para. (4) and (5) the revenue body shall check and issue the Act by which confirms or reasoned refused to suspend the application of the special arrangements.

(6) a person who has opted to apply the General rules on the chargeability of the tax under art. 25 after the time limit referred to in paragraph 1. 2, may request authorization for the application of the special arrangements after the expiry of 12 months from the beginning of the month following the termination of the application.

(7) the application of the special arrangements shall be terminated on the initiative of the revenue body by issuing the Act when:

1. it is established that any of the conditions under art. 151 (a), para. 1 there is no and the person has not fulfilled his/her obligation for submitting the request under para. (4);

2. the person has deducted tax credit prior to the occurrence of conditions under art. 151 d, para. 1;

3. the person referred to in paragraph 1. 1 is not issued or reflect the Protocol under art. 151 c, para. 8 to the value added tax due when payment received for work performed by it, the supply of goods or services in the accounting registers under art. 124, para. 1, item 2, and in the reference-declaration under art. 125 in the period in which the tax has become exigible.

(8) the revenue body shall may suspend the application of the special arrangements of the person who has obtained authorization under art. 151 (a), para. 5 when you establish that there were circumstances under art. 176.

(9) the application of the special arrangements shall be terminated under paragraph 1. 2, 3, 7 and 8 from the day following the day of notification of the Act of terminating the application of the special arrangements.

(10) the revenue body shall be deleted from the special public register under art. 151 (a), para. 8 the day of service of the order for termination of the special regime.

Chargeable event and chargeability, charging the tax art. 151. (1) the tax event of the delivery for which apply the provisions of this chapter, shall arise in accordance with the General rules under this Act.

(2) a person who applies special arrangements on the date of occurrence of the tax event under par. 1 is required to charge tax on the supply, such as:

1. issue an invoice or tax notice and indicate on a separate line;


2. indicate the invoice or the notice referred to in paragraph 1 in the sales journal for the respective tax period, the tax base and the amount of the tax does not participate in the determination of the result for the reporting period.

(3) tax for delivery under para. 1 is exigible on the date of receipt of full or partial payment of the delivery and the person who applies special arrangements must reflect and incorporate the amount of tax from the Protocol on al. 8 in determining the outcome for the respective tax period in the sales journal and reference-declaration under art. 125 for this tax period.

(4) if received on or after the date of the chargeable event partial payment chargeability under para. 3 occurs only for the portion of the charges on the invoice and/or the notice under paragraph 1. 2 tax that pro meets the amount of the partial payment to the total amount due at the date of the chargeable event.

(5) received before the chargeable event occurs a partial advance payment for delivery under para. 1 apply art. 25, para. 7 and charging is carried out in the common line of the law. When received before the chargeable event partial prepayment al. 3 applies to the amount of tax on the difference between the tax base of the delivery and the amounts paid in advance, without the tax under this law.

(6) where, prior to the beginning of the application of the special arrangements for partial invoice is issued an advance on the taxable supply, on which the tax event occurs after the first day of the month following the month of receipt of the authorization for the application of the special arrangements shall apply to the Al. 5.

(7) upon termination of the special regime for which tax chargeability under para. 3 had not occurred, becomes chargeable on the date of notification of the Act of terminating the application of the system and the person is required to include it in the determination of the result for the reporting period in which it is terminated the application of the special arrangements in a reference-declaration under art. 125. (8) to determine the amount of tax under para. 3 and 7 shall issue a Protocol, determined by the regulation for implementation of the law, for each of the supplier countries – a person who applies special arrangements. The tax is due for the tax period, during which has become chargeable.

Tax credit

Art. 151. (1) For the persons under art. 151 b, para. 1 the right of tax credit deduction for delivery received, on which the provider does not apply the special arrangements arises for the tax period, during which it has been committed in whole or in part payment on delivery to the vendor, and shall be exercised within the time limit under art. 72. (2) paragraph 1 shall not apply to supplies of goods or services under art. 151 (a), para. 2 are excluded from the scope of the special scheme. The right of tax credit for these supplies shall occur and shall be exercised by the General rules of law.

(3) For persons under art. 151 b, para. 1 the right of tax credit deduction under delivery, for which the provider applies special arrangements and on the invoice is entered "cash accounting" occurs for the tax period, during which it has been committed in whole or in part payment on delivery to the vendor, and shall be exercised within the time limit under art. 72. (4) upon partial payment made on or after the date of the chargeable event entitled to a tax credit under paragraph 1. 1 occurs for the part of the charges on the invoice and/or notice on the date of the chargeable event, which tax pro meets the amount of the partial payment to the total amount due at the date of the chargeable event.

(5) when performed before the chargeable event occurs partly advance payment of tax credit entitlement arises under general rules of law. For the tax in the issued at the date of the chargeable event an invoice and/or notice specified on the difference between the tax base of the delivery and the amounts paid in advance, without the tax under this law shall be applied para. 1. (6) a person who terminated the implementation of special arrangements by the procedure of art. 151 (b) has the right of tax credit deduction for tax, for which, as a result of the application of paragraphs 1 and 2. 1 this right is not exercised. The right arises on the date of notification of the Act of terminating the application of the system and shall be exercised within the time limit under art. 72. (7) for a person who terminated the application of the special arrangements, the right of tax credit deduction under delivery, for which there has been no chargeability of tax in respect of the provider – a person who applies special arrangements and on the invoice is entered "cash accounting" occurs by the procedure of art. 68, para. 6.

(8) for determining the amount of the tax credit pursuant to para. 1 and 6 protocol is issued by order, determined by the regulation for implementation of the law by the recipient – a person under art. 151 b, para. 1. The recipient shall not issue a protocol for the deliveries, for which the provider has applied art. 151 c, para. 8 and in the invoice is entered "cash accounting".

Documenting the delivery

Art. 151 (1) purchases, for which the chargeability of the tax under art. 151 c, para. 3 there has been no shall be documented by invoice or notification to it necessarily fits "cash accounting".

(2) paragraph 1 shall not apply to supplies of goods or services under art. 151 (a), para. 2 are excluded from the scope of the special scheme.

(3) documenting and reporting of deliveries under the special arrangements shall be made by order, determined by the regulation for implementation of the law. "

§ 24. In art. 166, para. 2 is hereby amended as follows:

1. In paragraph 2 the figure "10" is replaced by "5".

2. In paragraph 2 the figure "50" is replaced by "20".

§ 25. In art. 172, para. 1, after the words "indirect tax" is placed to the end point, and the text is deleted.

§ 26. In art. 173, para. 1, after the words "tax" and the text is placed to the end point is deleted.

§ 27. In § 1 of the additional provisions are made the following amendments and additions:

1. In paragraph 45, the words ' 70 ' shall be replaced by "69".

2. Create t. 72, 73, 74, 75, 76, 77 and 78:72. " First place of destination within the territory of the country "within the meaning of art. 55, para. 1, item 2 is the place indicated in the Bill of lading or other document under which the goods are imported on the territory of the country. When this place is not mentioned in any of the documents accompanying the goods, the first destination is believed to be the place where the goods for the first time be reloaded from one vehicle to another in the country.

73. ' municipal waste ' means waste from households "and" similar to waste from households. "Household waste" means waste generated by households. "Such waste" means waste which, by their nature and composition are comparable with waste from households, with the exception of industrial waste and waste from agriculture and forestry.

74. "industrial waste" means waste generated as a result of the production activity of natural and legal persons.

75. "construction and demolition waste" means waste from construction and demolition waste, corresponding to the codes referred to in chapter 17 of the Index to decision 2000/532/EC of 3 May 2000 replacing decision 94/3/EC establishing a list of wastes pursuant to article 1 (a)) of Directive 75/442/EEC on waste and Council decision 94/904/EC establishing a list of hazardous waste pursuant to article 1 (4) of Directive 91/689/EEC on hazardous waste and its subsequent amendments.

76. "hazardous waste" means waste that possess one or more of the hazardous properties listed in annex 3 of § 1, item 12 of the additional provisions of the law on waste management.

77. "ferrous and non-ferrous metals" are the technological waste resulting from the extraction, processing or machining of ferrous and non-ferrous metals and alloys, discarded machines, equipment, components and structures of production, construction or bit character except for hazardous waste.

78. "ferrous and non-ferrous metals with a bit of character" are ferrous and non-ferrous metals, obtained as a result of vital activity of the people in their homes, in the administrative, social and public buildings. Shall be assimilated to them and waste of ferrous and non-ferrous metals, received by commercial sites, craft activities, sites for recreation and entertainment. "

§ 28. In annex 2 to chapter nineteen "part one" is amended as follows: part one: I.

1. Household waste.

2. Industrial waste.

3. Construction waste.

4. Hazardous waste.

5. ferrous and non-ferrous metals.

6. ferrous and non-ferrous metals with a rustic character.

7. mining services, treatment or processing of waste under item 1 – 6.

Transitional and final provisions

§ 29. The provision of art. 6, al. 2, item 3 shall apply for deliveries under leasing contracts concluded after 1 January 2014.

§ 30. The provisions of art. 26, al. 7 and 8 shall apply for deliveries under art. 130, for which the tax event of the delivery with the earlier date of the chargeable event occurs after 31 December 2013.

§ 31. The law shall enter into force from 1 January 2014, with the exception of § 21 which shall enter into force on the day of its publication in the Official Gazette.

The law was adopted by the 42nd National Assembly on 7 November 2013 and is stamped with the official seal of the National Assembly.

President of the National Assembly: Mihail Mikov

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