Botanical Gardens in Sofia Bulgaria

Unregistered said:

I can understand the agent refusing ( it is not him,it is the developer) to allow clients pay the VAT and get the fullprice noted. Basically, if you do that for 1 client then you must get all clients to agree to do it.
DOn't mean to protect the particular agent but we come across this every day of the week and as long as you are well informed then that is the main thing.

Click to expand...

Sounds to me like 'blatant facilitation of tax evasion'.

Hi ,
I have also spoken to the agent about this and some of the other properties on their website.
When I queried the notes in their documentation about "keeping the VAT the client has to pay to a minimum", I was informed this was the way all propety transactions in Bulgaria are carried out and that was the risk that I would have to face!

It is a tax fiddle, benefiting the developer and NOT the client.
You may benefit in the short term, but what happens if the tax authorities want to claim the unpaid VAT, who pays it.
Also when you sell your property, within 5 years or if have more than two properties, you are liable to 20% capital gains tax.
You will be making a huge paper profit, since your title deed shows you paid some very low price.

It is not worth the hassel.
I also noticed these guys have a habit of never being at any of the organised property shows, they seem to do their own displays.
Why ?

Hi;

Last week I received a letter from the agent offering an alternative payment scheme to the method of paying into an account in HongKong (which I wasn't happy about anyway). This new option includes using a new Bulgarian solicitor with a presence in London & all payments will be made to the solicitors account & not to some other agent in Hong Kong. I was told when I queried that the purchase price is inclusive of VAT. I will be enquiring if I will get a vat receipt on closing ?