Bulgaria Introduces Incentives for Electric Vehicles and R&D

Bulgaria published the Law on Amendments and Supplements to the Corporate Income Tax Act in the Official Gazette on 27 March 2026, providing for the introduction of certain incentives for electric vehicles and R&D. This includes:

• An accelerated annual depreciation rate of up to a maximum of 50% for electric vehicles;
• An additional 25% deduction for qualifying R&D expenses (resulting in a 125% total deduction), which may include expenses for outsourced (contracted) R&D if at mar…