TAX AND SOCIAL INSURANCE BURDEN IN BULGARIA: INTERNATIONAL COMPARISON

CHAVDAR NIKOLOV

Abstract

The first part of the article is dedicated to international comparison of the main fiscal structures, these of the redistributive role of the state budget. The fiscal model in Bulgaria has to remain in future on the edge between the “social-liberal” and the “social models”, which means redistribution of 39-40% of the GDP. Such situation corresponds with the Bulgarian social traditions and with the experience in the other countries of Central and Eastern Europe. The problem in Bulgaria is the tax structure with a strong accent on the indirect taxes, which is not social and quite differs from the tax structures in the EU countries. The development here has to be towards more important role of the direct taxation. The social security payments in Bulgaria have to reach in the next years on evolutionary way the level of 11-12% of the GDP.

Key words
Redistributive Role of the State Budget, Relation Direct/Indirect Taxes, Security Payments

Full Text: PDF (Bulgarian)