Industrial lobby chief Vasil Velev accused Bulgarian authorities of ignoring employer proposals that would preserve fiscal balance without raising payroll levies affecting two million workers. The Association of Industrial Capital chairman argued that accelerating contribution rates from 53 to 58 percent will cost average earners roughly 100 leva monthly by 2027, while enriching defense and law enforcement personnel whose compensation jumped 50 percent.
Business leaders predict the dividend levy will shrink treasury receipts rather than curb luxury spending, since corporations purchase yachts and aircraft instead of individuals. Velev warned that projected VAT growth by one-third remains unattainable given current economic expansion rates, forcing rapid debt accumulation that doubles annual interest obligations and risks external financial intervention similar to Greece's austerity measures.
Business leaders predict the dividend levy will shrink treasury receipts rather than curb luxury spending, since corporations purchase yachts and aircraft instead of individuals. Velev warned that projected VAT growth by one-third remains unattainable given current economic expansion rates, forcing rapid debt accumulation that doubles annual interest obligations and risks external financial intervention similar to Greece's austerity measures.
