Gov Accountability

Bulgarian Libertarian Society blocks VAT tax on food vouchers


A 20 percent VAT tax on food vouchers in Bulgaria has been blocked, thanks to the efforts of Bulgarian Libertarian Society (BLS), an Atlas Network partner in the country’s capital city of Sofia. Food vouchers are a common employee benefit in Bulgaria, and research shows that distribution increases motivation and job satisfaction while helping employees and their families meet their daily needs.

According to BLS, over 300,000 Bulgarians currently rely on the food voucher program, including a participating network of commercial companies, vendors, supermarkets, and grocery stores. If the 20 percent VAT tax had been implemented, this popular benefit would have been nearly impossible to continue administering in restaurants and food markets. BLS also advocated for an increase to the food voucher quota in Bulgaria’s 2020 budget—and after working closely with the Finance Minister to secure this commitment, it was voted in parliament.

Bulgarian Libertarian Society received an Atlas Network LEAP grant for their campaign to secure a 0 percent VAT tax on employee food vouchers and increase the food voucher quota in 2020.