Income tax rates in many overseas jurisdictions are significantly lower than in the UK, particularly for pensioners and there are generally no restrictions on buying a pension annuity at aged 75. Spain and France have lower rates than the UK while anyone moving to Cyprus could be taking their pension as subject to 6% income tax while those seeing out their years in Dubai would pay no tax at all. Bulgaria operate a simple 10% uniform income tax rate.
Expected costs for Bulgaria living:
- Local tax 70 lv per annum
- Telephone land line rental 15 lv per month
- Internet 20/60 lv per month
- Sky TV connection fee 300 lv
- 200 lv per annum
- Electric summer 15/25 lv per month winter 200/300 lv per month
- Water meter, 20 lv per month
- Septic tank 20 lv per month ( empty once a month )
- Logs 240 lv per winter
- Car rental 50 lv per day
Current exchange rate is 2.5 lv to the pound.
Note that there is an inflation problem in Bulgaria due to general prices being very low as above compared to western prices and foreigners should be aware as in any other emerging markets country that they should purchase houses with good security and preferably in an estate type of development with good neighbours and a neighbourhood watch type of set up- as westerners will be targeted by thieves because of their perceived wealth.