Opening an online store in Bulgaria

How can Elan Consulting help me with the registration of an online store?

1. Initial consultation and evaluation

First of all, Elan Consulting offers an in-depth initial consultation to understand your business needs and specifics. This stage is key because it allows us to determine the scope and specifics of your activity, which is fundamental for the correct registration of your online store.

2. Preparing for registration

After we have a complete idea of your activity, we proceed to the process of preparing for registration. This includes the collection and preparation of all necessary documents and information that are mandatory for the procedure in the NRA.

3. Guidelines for NRA requirements

Elan Consulting provides detailed guidance on the regulatory requirements of the NRA. This includes clarifying all the legal and fiscal aspects that are important in running an online store.

4. Help filling out forms

Our experts provide support in filling out all forms and applications necessary for the registration of the online store in the NRA, taking care of the accuracy and completeness of the information provided.

5. Choosing the right payment systems

An important aspect of registration is the selection of suitable payment systems and methods for your online trading. We provide advice on the different options and best practices in this area.

6. Tips for Taxation

We provide advice on taxation and related procedures, helping to understand the tax aspects of online commerce.

7. Maintaining compliance with Ordinance H-18

We help clients ensure compliance with Ordinance H-18 and follow all current rules and guidelines provided by the NRA.

8. Protection of personal data

We advise customers on the requirements of personal data protection and GDPR, which is especially important for online merchants.

9. Support for technical issues

We offer support and guidance in choosing technical platforms for the online store, including hosting and software solutions.

What are the legal requirements for opening an online store?

Nowadays, when digital technologies are penetrating into every sphere of life, entrepreneurs and corporations are actively using the Internet space to expand their business and reach a larger audience. Planning and creating your own online store is a complex process that requires careful consideration of a number of key aspects. Of great importance is the understanding of the steps and requirements, which include not only the technical and marketing side of the business, but also the mandatory registration with the relevant state institutions, such as the National Revenue Agency (NRA). There are a number of legal requirements that an e-shop must comply with in order to ensure its legality and reliability.

Before starting the creation of your online store, it is important to go through several key steps that will determine the success of your business in the Internet space.

1. Product Selection:The first and perhaps most important step is to determine what type of products or services you will offer. This requires market research to find out what the current trends are, what consumers are looking for, and what competition exists in your segment.
2. Pricing:Determining the right pricing strategy is essential. You need to consider the cost of manufacturing or purchasing the products, web hosting costs, taxes, marketing and SEO optimization costs, as well as determine a reasonable mark-up to guarantee your profit.
3. Delivery Methods:Decide how you will deliver your products to customers. Supplier selection, shipping pricing policy, as well as free shipping options are important factors that can influence customers' decision to shop from your store.
4. Choosing a web hosting:Choosing the right web hosting is essential for the speed, security and reliability of your online store. Explore the different options, taking into account the required resources, support, cost, and scalability.
5. Creating a unique domain name and brand:The name of your online store should be memorable, unique and reflect the type of products or services you offer. It is also important to register the name as a trademark to protect your intellectual property.
6. Website development:Your website should be intuitive, easy to navigate, and provide complete information about products or services. Include clear descriptions, high-quality photos, pricing information, and affordable payment methods.
7. Choice of payment methods:The variety of payment options is important for customers. Include various methods such as payment with debit and credit cards, online platforms such as PayPal, ePay, as well as the cash on delivery option.
8. SSL Certificate:To ensure the security of your customers' personal data, it is necessary to integrate an SSL certificate. It ensures encryption of the data that is exchanged between users and the site and is a fundamental factor in building trust.

Each of these aspects is crucial for the successful launch and management of an online store. For each stage of the process, additional research and planning may be required to ensure that your online commerce is competitive and meets customer expectations. Before you start effectively selling products or services online, you should develop and integrate clear terms and conditions and a privacy policy that are easily accessible to users of your site. These documents should include detailed information about the conditions of the site, data privacy and the use of cookies.

What is an e-shop according to the NRA in Bulgaria ?

An e-store is a website that functions as a virtual retail outlet designed to make online sales of goods or services. It is important to note that the e-shop functions by concluding a distance contract, which is regulated in the Consumer Protection Act (Art. 45). This legal definition underlines the commitment of online merchants to comply with a number of rules and regulations that ensure the protection of consumers.

1. Selection of goods and services:The main function of any online store is the ability for customers to view, select and add products or services to their shopping cart. This facilitates the shopping process and allows consumers to make informed choices.
2. Entering information about the buyer:The online store must provide the ability to enter data from the customer, including personal information, shipping address and billing. This is an important step in the purchase process, which ensures the successful processing and delivery of orders.
3. Choice of payment method:Online stores offer various payment options, which increases their accessibility and convenience for customers. This includes debit and credit card payments through virtual POS terminals, the use of electronic platforms such as PayPal and ePay, as well as a cash on delivery option.

According to Bulgarian legislation and the provisions of Ordinance N18, e-shops must comply with a number of legal requirements related to consumer protection and proper accounting of sales. Online merchants are obliged to submit to the NRA a special audit file with information about the goods or services supplied on a monthly basis. When issuing an electronic document, the merchant is not obliged to maintain sales management software in a retail outlet under the VAT. Such software is mandatory only in sales for which the merchant issues cash receipts.

What obligations do online merchants have to the NRA when selling through an e-shop?

According to Art. 52m of Ordinance H18, the e-shop is considered as a platform for online sales of goods or services and must meet certain requirements set by the National Revenue Agency (NRA). These requirements are designed to facilitate and regulate the process of electronic commerce, as well as to protect the rights of consumers. An important aspect of the obligation of merchants to record and account for sales of goods or services made in the absence of payment by credit or debit card. This includes the issuance of a document for registering the sale, which must be readable and contain certain requisites. These requisites include the name, number and date of the document, details of the merchant, the unique number of the customer order, the reference number of the financial transaction, details of the goods or services, as well as information on the method of payment.

To ensure transparency and traceability, it is required that the document number for each sale be unique and grow consistently. This number must be 10-digit and contain only Arabic numerals. In addition, it is mandatory to include a two-dimensional barcode (QR code), which contains detailed information about the sale. In cases where an invoice is issued for the sale, which already contains this information, it is allowed not to issue a separate document for registration of the sale. Of particular importance is the provision of unambiguous identification of each sale by each e-shop, as well as the provision of the issued document electronically to the customer when making the payment.

Accountability and transparency are essential elements of these regulations, requiring traders to file a standardised audit file with information on all deliveries of goods and services made during the month. This information must be provided to the NRA by the 15th of the month following the month of sales made. These requirements ensure that all transactions carried out through e-shops are properly recorded and accounted for, which promotes transparency and facilitates tax and regulatory processes. Compliance with these regulations is essential for the effective and lawful management of online business activities.

In the context of payments made in the online store, two main options for accounting for sales are provided: the issuance of a cash voucher from an approved fiscal device (FUS) or an integrated automated business management system (IASUTS), or the issuance of an electronic document according to the mandatory requisites defined in Ordinance H18.

Specifically, the electronic document is issued under the so-called non-attendance credit or debit card payments via a virtual POS terminal. In such cases, the issuance of a cash receipt is not required, which facilitates the process for both merchants and customers.

The legal requirements set out in Ordinance H18 determine that the software of any online store must meet the following criteria:

1. Generate a unique number of each order:This ensures that each transaction can be tracked and uniquely identified.
2. Unambiguous user authentication:This protects against froth and ensures that every user is properly identified.
3. Completeness and integrity of the created data:This ensures that all data related to the transaction is complete and unchanged.
4. Sales Specialization:The software must not manage sales other than those made on the website.
5. Restriction on the acceptance of payments:Acceptance of payments should be limited to non-present card payments.
6. Storage of the database:The database of the online store must be stored on the territory of Bulgaria or on the territory of the European Union.

According to the new regulations affecting online commerce according to Ordinance H18, e-shops must meet additional requirements regarding the manner of accounting of sales and management of payments.

• Individuals who make sales through an online store must file information with the National Revenue Agency (NRA), regardless of whether they use their own, rented domain or the platform belongs to a third party.
• The main requirement for registration and provision of information in the NRA is related to the acceptance of payments for which the issuance of a fiscal voucher is required.
• If the person making sales through the e-shop does not accept payments for which he is obliged to issue a fiscal voucher, he is not obliged to provide information to the NRA. However, such persons may decide to provide the data at their own discretion.
• The software of the online store, through which sales of goods or services are made, paid by non-attendance payment by credit or debit card, for which a document is issued under Art. 52o of Ordinance N18, must generate a unique number of each order for the purchase of goods or services and meet at least the requirements in items 2, 3 and 7 of Annex No. 29 to The Ordinance
• In the event that the software interface is not in Bulgarian, the trader is obliged to provide a Bulgarian translation of the software upon request by the Revenue Authority.
• In the course of control proceedings under the GDPR and at the request of a revenue authority, the company managing the e-shop provides the authorities with full access to the administrative panel, including settings and the complete reference part provided by the software.
  

Information to be provided when registering an e-shop in the NRA:

When registering an online store with the National Revenue Agency (NRA), it is important to provide extensive and accurate information that meets the standards and requirements set by the NRA. This process is important not only for compliance with legal frameworks, but also for ensuring the transparency and reliability of online commerce.

The most key information to be provided to the NRA is the store's basic details, which include the store's name and web address. This is the primary information that identifies your online business on the Internet space. In addition, you must provide information about the entity behind the store, which includes data about the individual or company managing online sales. Separately, information about the products or services offered is provided, which provides clarity about the specifics of your business and the scope of the products or services you offer for tax purposes. Technical information related to the store software and hosting services is also essential in view of the requirements for online sales software under Ordinance H18.

Information required when registering an online store in the NRA

1. Basic details of the store:This includes the name of the store and its web address. This information is fundamental and serves to identify the store within the online space.
2. Information about the subject:Data about the person or company responsible for sales through the e-shop. This includes details of the business owner, such as name, registration details, contact address and other relevant information.
3. Details of the offered products:Information about the type of goods or services sold. This provides clarity on the scope and nature of the products offered.
4. Technical Information:Details about the software used to manage the e-shop and information about hosting services. This information is crucial for the technical functionality and security of the store.

How is the data submitted to the NRA when registering an online store?

All of the above data must be submitted through the NRA Electronic Services Portal and a qualified electronic signature is required to access this portal. Registration is a mandatory step that must be carried out before the start of the activity of selling goods or services.

In the event of changes in the circumstances surrounding your online store, such as a change of assortment, address or other important data, or upon termination of activity, you must update your information interm of 7 days.These changes are reflected in the public list of e-stores maintained by the NRA.

In addition, persons who make sales through an e-shop are required to store the information created through the store's software in accordance with the deadlines set by the Tax and Insurance Procedure Code. This includes a current database and backup copies of the data. At the request of the revenue authorities, it is required to provide access to these data with the ability to export and copy them.

For these reasons, the registration and management of an online store becomes a process that requires attention and accuracy in providing information to the NRA in order to ensure compliance with legal requirements and ensure a reliable and transparent online business.

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