Stage 1. Registering the car after purchase
The details of the procedure depend on:
- the buyer’s status in Bulgaria;
- the period within which the car will be taken out of the country.
If you plan to use the car in Bulgaria, it must be registered. This is easiest for holders of a permanent residence permit and for citizens. Holders of a long-term residence permit may register a car only in the name of a company or in their own name, but with blue plates. “Blue plates” differ from ordinary ones not only in colour but also in the registration procedure — registration can be carried out only in the capital and only for the period of validity of the personal card, i.e. temporarily, after which the registration has to be renewed. This is not always convenient.
Registering the car in a company’s name is a simpler route, but bear in mind that even dormant companies must file reports. And if the car is sold, the company is automatically considered active, and at that point an accountant becomes indispensable. Another important point: cross-border transactions (for example, selling a car abroad) may require the company to register for VAT — namely if annual turnover exceeds 25 thousand euros.
Registration with KAT must be completed within 14 days of purchase. Before the car is taken out of Bulgaria, it can be deregistered.
If you plan to take the car out of the country straight away, you need not register it with KAT and can go directly to customs brokers.
Stage 2. Taking the car out of Bulgaria and selling it in another country
The first step is to deregister the car. This is done at the KAT office for your place of residence. You must submit an application accompanied by:
- identity document;
- document certifying title of ownership;
- registration certificate (the large and small parts);
- a document confirming the grounds for deregistration (in this case, the owner’s written notification that the car will be taken out of the country).
The car’s plates must also be handed in to KAT. Once the documents have been checked, both parts of the certificate are returned to the owner (perforated and marked as no longer valid). A copy of the registration certificate is attached to the application for termination of registration. At the owner’s request, a certificate of termination of registration may be issued.
After that, you need to approach customs brokers to obtain an EORI number. This is a customs number required for cross-border purchase and sale transactions. Once the number has been obtained, you should contact customs brokers for the further customs clearance formalities.
After this you must return to KAT to obtain temporary (transit) plates for crossing the border. The plates are issued immediately and are valid for 30 days — enough time to take the car out of the country. All you need to do is sign an application (printed out at KAT itself) and attach to it:
- identity document;
- document of ownership (for example, the purchase and sale contract) — original and copy;
- the document issued at customs;
- third-party liability insurance;
- proof of payment of the fee.
The vehicle itself must also be presented to KAT staff for identification.
Once the transit plates have been obtained, the car can be taken out of the country and sold to an interested buyer. If the car is registered in a company’s name, copies of all documents drawn up in the course of deregistration and sale must be provided to the accounting department so that the vehicle can be removed from the company’s balance sheet.
Buying a car in Bulgaria
Company registration in Bulgaria
Accounting services for your company in Bulgaria.