In 2022, parents of children and children with disabilities will be able to use higher amounts of tax relief for earned income, compared to the previous year.

   The amounts that can be reimbursed by the National Revenue Agency depend on the number of children, as for one minor child the relief from the annual tax base is BGN 6,000, and the amount to be received is up to BGN 600, for two – BGN 12,000 and an amount for receiving up to BGN 1,200, for three or more – BGN 18,000 with an amount to receive up to BGN 1,800. For raising one disabled child, the relief for this year is in the amount of BGN 12,000, and the amount to be received is up to BGN 1,200. These are the funds that can be received when the  Individuals did not use the reliefs in the advance taxation of the incomes. In order to benefit from the tax relief, the natural person (including a sole trader) must in 2022 have received income subject to annual taxes (tax on the general annual tax base or tax on the annual tax base for business income as a sole trader). People with no income, or only non-taxable income such as maternity benefit for example, as well as only income subject to final and/or patent tax, cannot take advantage of the reliefs, but the other parent can if they meet the conditions supplemented by the National Revenue Agency.   

   The conditions for using the tax relief for children and children with disabilities are described in detail on the NRA website. One of the most important requirements for the application of the reliefs is that the parents have no enforceable public obligations. The NRA advises citizens to check their tax account for liabilities online with a personal identification code before using tax relief to avoid inconvenience.

  The annual amount of tax relief can be used in two ways, as before. One is by submitting the relevant declaration to the employer under the basic employment contract in the period from November 30 to December 31, 2022. In this case, the employer can refund the tax until the end of January 2023. The second possibility to use the tax reduction is with submission of an annual tax return to the National Revenue Agency within the period from January 10 to May 2, 2023, and the sums of money will be refunded after verification by the revenue agency within a period of 1 month after the submission of the return.