Portugal vs Bulgaria
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π΅πΉ Portugal β Municipal & Regional Taxes
Portugal's 18 districts and 308 municipalities levy a municipal IRS surcharge (Derrama Municipal) of up to 1.5% of taxable income on residents. Municipalities also apply the Derrama Municipal on corporate profits (up to 1.5%). Madeira and Azores autonomous regions have their own lower tax regimes: Madeira has a 14.7% corporate rate in the MIBC (international business centre). Real estate transfer taxes (IMT) are municipal. The NHR (Non-Habitual Resident) regime attracted many foreigners until 2024 when it was replaced by IFICI.
π§π¬ Bulgaria β Municipal Taxes
Bulgaria's 265 municipalities set local tax rates within nationally defined bands. Property tax (danuk varhu nedvizhimi imoti) is levied at 0.01%β0.45% of the property's tax value (set by municipalities). Vehicle tax and patent tax for micro-enterprises are also locally determined. Sofia Municipality applies higher property tax coefficients than rural areas. Bulgaria has the EU's lowest flat income and corporate tax rates at 10%, making it a competitive jurisdiction for businesses.
Portugal vs Bulgaria: Key Tax Differences (2026)
π° Income Tax: π΅πΉ Portugal has a higher top income tax rate (13.25β48% vs 10%). π§π¬ Bulgaria is more favourable for high earners.
π VAT/Sales Tax: Portugal has a higher consumption tax (6β23% vs 9β20%).
π’ Corporate Tax: π§π¬ Bulgaria offers a lower corporate rate (10% vs 19%), which can influence business location decisions.
π Capital Gains: π§π¬ Bulgaria taxes investment gains at a lower rate (10% vs 28%), benefiting investors.