• 26 Mar 2020

On 23.03.2020 the Bulgarian Parliament finally adopted the State of Emergency Measures Act providing for various legal and administrative measures to mitigate negative impact of COVID-19 pandemic (the “SEMA”). The SEMA shall be deemed in force as of 13.03.2020, when the state of emergency has been officially declared by the Bulgarian Government and the law shall be in effect till calling off of said emergency state. The measures under the SEMA could be summarized as follows:

Legal Terms/Licenses Suspension


All terms under pending legal proceedings at the court or arbitration


Any legal prescription terms on termination of rights or assuming of liabilities to private parties


Tax legal prescription terms on establishing taxes and social security payments (no new tax collection proceedings)


Compliance terms in administrative procedures set by administrative bodies to private parties


Terms of validity of any expiring license or permit shall be extended by 1 month upon state of emergency termination


Business/Contract Related


No freezing/seizure of personal bank accounts, pensions and salary payments, movable and immovable personal assets


Private parties shall not be liable for payment of interest and/or contractual penalties for delayed payments for the time of the state of emergency.


The aggrieved party shall not be entitled to terminate a private contract based on failure of the other party to pay.


Notary Deed transactions (real estates, enterprise, pledges, vehicles) and Notary Certifications (PoA/Declarations) are limited to absolute urgent


Tax Terms and Financial Filings


Corporate Tax declaration and payment extended by 30.06.2020


Personal Tax declaration and payment extended till 30.06.2020


Corporate Annual Financial Statements filing extended till 30.09.2020


No Business Activity Declarations filing extended till 30.06.2020


Labor and Employment


Remote work or home office shall not require consent of respective employees


Suspension of operations (full or in part) or suspension of work for specific employees, at discretion of the employer


Imposing of use of up to 1⁄2 of employees paid annual leave, at the discretion of the employer


Reimbursement by the State’s budget of 60% of the social security income (as of Jan. 2020) paid to the employees for up to 3 months. Criterion TBD.


Social Security


Suspension of all regulatory terms for insured person on execution of various social security payments


All documents and claims related to social security payments shall be filed via electronic signature, licensed courier, or personal identification code


Lack of ruling by the National Social Security Institute shall not be deemed silent refusal and shall not enable appeal


IDs & Residence Permits


Extension by 6 months of the validity of ID card and Driving Licenses, expiring between 13.03.-31.10.2020


Extension by 6 months of the validity of Bulgarian IDs for permanent, long- term and continuing residence of foreigners, expiring between 13.03.- 31.10.2020