Glossary
Progressive Taxation
A tax system in which the tax rate increases as the taxable base grows. For example, in the case of income, the higher a person’s income, the higher the percentage of tax applied.
Property Insurance
A type of insurance under which the insurer undertakes to compensate the insured for property damage suffered as a result of an insured event specified in the insurance contract. It covers both movable and immovable property against risks such as fire, natural disasters, theft, accidents, and other perils.
Property Tax
A local direct tax paid annually by owners (or users in certain cases) of buildings, apartments, houses, plots, and other real estate located within the territory of Bulgaria. It is regulated under the Local Taxes and Fees Act. Taxpayers are the owners of real estate – both natural and legal persons – and users who hold a real right of use over the property. In cases of co-ownership of a building, each owner owes tax proportionally to their share. The tax amount is determined by an ordinance of the respective municipality, usually as a percentage of the tax valuation. Exemptions apply to properties owned by the state and municipalities, certain cultural and religious sites, as well as, under specific conditions, the sole residence of a person with more than 50% reduced working capacity.
Proportional Taxation
A tax system in which all taxpayers pay the same tax rate (also called a flat tax), regardless of the size of the tax base, such as income or other taxable objects.
Public Services
Goods and services provided or ensured by the state for the population, financed from tax and non-tax revenues, accessible to all members of society, and non-excludable when used simultaneously, providing benefits not only to the individual but also to society as a whole (e.g., defence, healthcare, education, infrastructure, social welfare).
Public Services - glossary for children
Services for everyone, such as schools, hospitals, and national defence. They are paid for with money from the taxes collected by the government.
Partners
