Bulgaria Freelance Taxes: Detailed Breakdown • Hacker News Board

Re: Bulgaria Freelance Taxes: Detailed Breakdown

#131

Post by romaniatax » Mon, Jan 10, 2022, 12:42 PM UTC

lostmsu wrote: post #113

romaniatax wrote: post #82

Earlier quoted context omitted.

6202 is strictly for consulting services (ie. no programming). was advised by anaf and my accountant not to use it as it would be, basically, fraud (since i also write code not just "advice" - which is what the romanian tax system defines as consulting). use it at your own risk as they can back-tax if they catch you. either way thanks for this!

How are Romanian taxes on capital gains? VAT?

All I can find on the topic is: https://taxsummaries.pwc.com/romania/individual/income-deter....

> The net capital gain is subject to income tax at the flat rate of 10%. The taxable amount is calculated based on the difference between the sale price and the acquisition price of the shares. In general, broker/transaction fees in connection with the acquisition or sale are tax deductible.

I have no clue tho how it works.

Re: Bulgaria Freelance Taxes: Detailed Breakdown

#132

Post by AdrianB1 » Mon, Jan 10, 2022, 1:17 PM UTC

otar wrote: post #125

AdrianB1 wrote: post #102

Earlier quoted context omitted.

It may be possible; maybe not 2.5%, but total tax rate below 10% is possible =legally= in some places. Yes, it is a punch in the face from the governments to people that pay huge taxes like 50-70% in most of Europe, but this is what governments are very good at doing: discriminating.

Indeed it is possible. I could be getting away with legal, accounting and bank fees only and paying 0% but I prefer this way. Through the history there are loads of examples: Warren Buffer paying lower tax rate than his secretary (ever got interested how?), Eduardo Saverin denouncing US citizenship in favor of Singapore citizenship and saving hundreds of millions in taxes. Right now I hire contractor developers in Uk…

From certain countries you cannot move out as a tax resident to become a "no country resident". For example if you are a Romanian citizen living in Romania and you move abroad, you cannot remove your Romanian tax residency unless you prove you are a tax resident in another country for at least 6 months. As a slave you can change your master, but you cannot get free.

Re: Bulgaria Freelance Taxes: Detailed Breakdown

#133

Post by mistrial9 » Thu, Jan 13, 2022, 6:09 PM UTC

AdrianB1 wrote: post #97

romaniatax wrote: post #96

Earlier quoted context omitted.

It is. Worth noting that I know no one among locals that are permanent employees to earn 10 years of experience. Junior or mid is way less. BI/Data science or web dev. Game dev and other types of development are low paid, as in western europe. I had my first shock when Microsoft offered a salary of 70k + bens for someone from cluj napoca to relocate to London around 2014, and they flat out turned it out because cost…

I know several people just out of college that earn 50k in Bucharest or Cluj, not after 10 years. The salaries increased a lot in the past 5 years, but still 120k is extremely rare, above director level for employee type of contracts.

people "just out of college" earn a lot more than someone with 20 years experience, in tech here. In fact, there is straight discrimination against people over 30 in many tech shops in the USA.