Implemantation of SAF-T in Bulgaria

The European Commission aims to assist the National Revenue Agency of the Republic of Bulgaria in improving tax compliance by introducing the Standard audit file for tax (SAF-T). The assistance was concentrated on carrying out the preparatory stage of the reform, including crafting a strategy for SAF-T implementation and technical specifications based on the OECD model. 

Context

During the past years the Bulgarian National Revenue Agency has made considerable efforts to strengthen the efficiency of the tax collection mechanism and reduce the tax gap, taking into account the recommendations addressed by national and international organizations. 

The Agency is focused on shifting towards a digital, client-driven approach, with SAF-T implementation advancing the overall digitalization process and business-tax administration interactions.

The primary goal of SAF-T implementation would be to enhance transparency, streamline auditing processes, and facilitate more efficient tax compliance. The reform would address the EU's Digital Transformation policy, enabling digital tax compliance, simplifying reporting, and increasing efficiency.

Support delivered

The project involved activities to ensure efficient introduction SAF-T reporting in Bulgaria. 

Activities included development of a technical report and specification for SAF-T implementation, methodology with guidelines on e-audits and analysis of SAF-T, training materials, and a change management strategy. 

The project utilized research involving internal and publicly accessible documents, legislative reviews, evaluations of operational and IT frameworks of the Agency, stakeholder analysis, data analysis, assessments of best practices, and stakeholder engagement. 

The project actively engaged a diverse group of stakeholders (including taxpayers, accountants, and software developers), ensuring their substantial involvement.

Results achieved

The results achieved encompass the creation of the SAF-T reform framework in Bulgaria aligned with relevant guidelines and best practices and also tailored to suit the national environment.  

More about the project

You can read the documents related to the project here: