site.btaBase Rate Increase Pushes Up Interest for Overdue Liabilities to 11.42%
The increase of the base interest rate has pushed up the interest for overdue liabilities of individuals, companies and organizations from January 1, 2023 to 11.42%, the National Revenue Agency (NRA) told BTA.
The interest for late payments in Bulgaria is regulated by the Obligations and Contracts Act and a government resolution of 2014, and is set twice a year - on 1 January and 1 July, based on the base interest rate set by the Bulgarian National Bank plus 10. Since the base rate was 1.42% in January, the interest for overdue liabilities, which is applied to contracts between individuals and companies, is 11.42% per year.
The daily rate of the statutory interest on overdue liabilities is equal to 1/360th of the annual rate.