BULSTAT REGISTRATION

BULSTAT registration for foreign owners of real estate in Bulgaria.

As known when buying a real estate which includes land in Bulgaria a foreign citizen must register a local company which will actually own the land. This is really formal and in fact the legal entity does not have to be active or do any kind of business. This is just necessary because according to the existing legislation a non Bulgarian citizen is not allowed to own land as a physical person.

The situation is different when a foreigner is buying an apartment or limited real right.

As with such deal the physical person does nor acquire land he can buy directly on his name.

In such cases a legal duty has to be enacted. Once the purchasing deal is completed and the notary deed is issued the new owners have to register in the Registry Agency according to the Bulstat Registry Law. This obligation has to take place within 7 working days following the date of the purchase.

To whom it concerns:

BULSTAT registration is exacted from real estate owners who are:

*foreign companies which do not have such registration, and are not registered under the Bulgarian Trade Law ,

*Foreign physical persons

The registration is done by the Registry Agency and is not a complicated process. Anyway it is recommended to be done by a local lawyer as it involves at least two visits to the Agency and filling in some forms.

The reason which makes this BULSTAT registration necessary is because the foreign physical persons who do not have status of residency in the country cannot be identified. According to the law each owner has to declare the property he has obtained in the local tax services. For this purpose the owner needs identification in Bulgaria. The BULSTAT number is giving this identification and allows all taxes to be paid.

If the BULSTAT registration is not done on time the law makes provision for penalties which start from 350 euros.

The people who have obtained a property before this law was accepted are being registered officially. They should receive their BULSTAT cards on the address stated in the notary deed, proving the ownership.