[size=55:l20qvb8a]novinite 07 August 2010

Bulgarian Revenue Agents Outraged by Beach Resorts Tax Evasion

A probe of Bulgaria’s National Revenue Agency (NRA) discovered large-scale tax evasion in the largest beach resort “Sunny Beach.”

The concealed profits amounted to BGN 300 000 in just one night.

The Sofia tax agents made a surprise visit to 4 of the largest night clubs at the resort to find out that BGN 7 000 out of every BGN 10 000 never get declared and taxed. In one of the establishment employees were listed as making the mere BGN 65 a month, while the average officially listed monthly salary in most of the clubs and restaurants is below BGN 300 - low by Bulgarian standards. (Listing low wages is a much practiced form of tax evasion in Bulgaria where employers pay less for insurance and other benefits.)

Another stark violation discovered overnight is the fact that one of the most popular clubs in “Sunny Beach” declared monthly revenues from entrance fees in the amount of BGN 10, while the tax agents established that these fees add up to BGN 4 000 in just 5 hours.

Retailers failing to give a receipt are also among the violators.

NRA inform they will continue to monitor all merchants throughout the entire summer season while the owners of the largest night clubs will be audited.

“What is happening at Bulgaria’s beach resorts is an outrage and a disgrace. Those people are mocking the entire society. Of owners conceal 2/3 of their revenues, we will watch them all summer long and based on information collected this season will tax them for years back,” NRA Director, Krasimir Stefanov, says.

Its about time too maybe if they did more of this they would have more to spend on the infrastructure of Bulgaria instead of relying on funds from the eu

Bulgarian Revenue Agents Hit Black Sea Coast with Warning

The Bulgarian National Revenue Agency (NRA) is launching overnight mass tax probes on the entire Black Sea coast, the agency announced Friday.

Hundreds of tax agents, including some from inside the country, will monitor hotels, restaurants, night clubs, and shops for hidden revenues. They will be in the beach resorts of “Albena,” “Golden Sands,” “Sunny Beach,” and “The Spirit of Burgas” festival. In addition to the largest resorts, probes will be conducted in smaller coastal towns in order to find profits believed to be concealed by owners until now. NRA will also check wages and insurance benefits of employees.

A risk analysis carried out by tax experts revealed that 88% of night clubs in the country conceal their profits, leading to damages of BGN 12 M for the State budget. The main scams used involve not accounting for profits at all or tempering with cash registers.

The probe at the “Sunny Beach” resort from the past weekend found out BGN 300 000 were concealed in just one night while a surprise visit to 4 of its largest night club revealed that BGN 7 000 out of every BGN 10 000 never get declared and taxed.

NRA inform they will continue to monitor all merchants throughout the entire summer season while the owners of the largest night clubs will be audited. They further say owners will be taxed for years back based on information collected this season.

[size=55:lhffpki6]novinite 23 August 2010

Jail Looms for Bulgarian Resort Owners over Tax Evasion

The owners of a company, managing several establishments in the Bulgarian beach resort of Lozenets, are probed by the prosecutor over charges of large-scale tax evasion.

The news was reported by the Bulgarian National Revenue Agency (NRA). The Penal Code provides for up to eight years behind bars for a similar crime.

During a joint operation between NRA and the police from the southern Black Sea city of Burgas late Sunday, the authorities seized computers and cash registers and found out that since the beginning of the summer season the company failed to report in taxes close to BGN 200 000.

NRA informs the business will be forcefully registered with a back date to pay double the concealed amount in Value Added Tax (VAT), plus a fine, while the entire venture and all of its owners will be audited.

The NRA Director, Krasimir Stefanov, is quoted saying he hopes for effective jail sentences to serve as an example to other owners along the Black Sea coast.

Admin thanks Sounds like they are finally beginning to crack down now and get Bulgaria or Sunny Beach cleaned up

Oddy