The number of Romanian companies registered in Bulgaria in the last five years grew eight fold, according to the Tax Administration in Sofia. Over 272 companies have filed tax declarations to the Bulgarian authorities in 2010, compared with 33 in 2006, according to Sofia News Agency.

The largest number of Romanian companies, 93, are recorded in Ruse, 60 km south of Bucharest, while 93 Romanian companies are registered in Sofia, and 22 in Varna.

The increasing number of Romanian businesses in Bulgaria is primarily due to lower taxes, according to Bulgarian authorities. Currently, Bulgaria has the lowest taxes in the EU, including a 10 percent income tax. Romania has a 16 percent flat tax.

Irina Popescu, irina.popescu@romania-insider.com

(photo source: Sxc.hu)