EOOD and Car/Property Purschase

@digiwolf88

When registering a property address as an EOOD there is a possibility you will pay business rates when accessing utilities, this can make your Electric bill very high. There is a way around it and you visit a notary and set up a rental agreement for the property to you at a peppercorn rent, lots of expats did this recently when business electric costs soared and domestic stayed low.

AS for vehicles if a company wants to buy a car there is no reason to justify the purchase.

As for moving the company address to Greece, you will have to seek professional advice for this.

Anything you buy through the company becomes an asset of the company and could produce a tax liability, ie when you sell the house it will produce a tax bill, but a person can sell a house that was their main home for 2 years or more with no tax due.

When we purchased our house our business was first registered at the solicitor's address although we had to form a business to purchase it, it is in our name. Once we settled here full time we registered the business at our home address.

At the end of the day the choice is yours what ever is best for you and your circumstances.

@roywebb58, thanks SO much for the reply.

I am currently looking for a studio apartment, in a residential building, whose address will be used for the EOOD. It will be our home when we aren't travelling to client sites (our work involves a lot of travelling and offering services on client sites). Would it be okay that the property will be a studio apartment for both residential and 'commercial' use?

Also, I might have misexplained: I am looking at moving the business from Ruse to the surrounding area of Sofia or Bansko, not moving the business to Greece. Is the transfer process easy enough?

FInally, what is the tax liability once the flat is sold in the future? Do you get taxed on the profit on the flat or its entire amount, say you bought $50K and sold is at $70K, is the tax on the $20K profit or £70K price?

@digiwolf88

You can purchase an apartment without forming a company.

You can register the company address where you want it to be within the territory of Bulgaria, basically the company address does not have to be where the company operates out of, just somewhere that mail can be sent to and actioned on, for an example, our friends company is registered at our address, ( as is our company) but it means any mail that comes we can action it and do what is required if it is a business matter without her actually being here in BG or living in the property, but she visits often as she loves it here.....lol

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if the property is your main residence and you have owned it for more then 2 years there is no tax liability, if it is registered as a company asset there will be a tax to pay on the difference between the selling and buying price

@digiwolf88

You can buy both a property (such as a house with land) and a vehicle with an EOOD. However, it might be preferable to keep separate EOODs for trading and owning assets. That's because a holding company would have much simpler accounts to file, especially in subsequent years when there is no change (i.e. same assets held, no trading). And it gives a bit of flexibility as to whether or not you want to keep your trading company operational.