The government’s proposal to increase the monthly food voucher allowance to EUR 200 per employee is a positive measure that will preserve the purchasing power of the social benefit, Veronika Yordanova-Nedkova, a member of the Association of Food Voucher Operators in Bulgaria, told BTA on Wednesday.
The proposal is among the changes the government plans to introduce in the 2027 State Budget. The annual quota for electronic food vouchers is also set to increase from EUR 818 million to EUR 1.5 billion. Currently, employers can provide food vouchers worth up to EUR 102.26 per employee per month, equivalent to BGN 200.
Yordanova-Nedkova described the proposed increase as long-awaited, noting that the allowance was last raised in 2022. Since then, food prices have increased by more than 50%, while the minimum wage has risen by nearly 70%.
She said that the association welcomed such an increase, as Bulgaria would move from the bottom scale in the EU towards levels closer to countries such as Belgium and Portugal.
A survey conducted by the association among employers in 2025 found that the majority wanted the tax-exempt allowance to be increased. Food vouchers remain one of the most sought-after employee benefits in Bulgaria.
For the first time since the benefit was introduced, however, a 7% tax is planned. Finance Minister Galab Donev explained that it would apply to the amount exceeding the current threshold of EUR 102. According to calculations by the Finance Ministry, this means that an employee would effectively receive a maximum of EUR 186 rather than EUR 200. Exemption from social security contributions would remain in place.
The association pointed out that Bulgaria was one of the few EU countries where food vouchers will be subject to such a levy. Romania is one example of a country where this is already the case. In some countries, vouchers are taxed only when a specified daily limit is exceeded, typically around EUR 8-12, they said.
Asked about Consumer Protection Commission Chair Maya Manolova’s intention to refer the matter to the Commission for Protection of Competition (CPC) to examine the impact of food vouchers on prices, Yordanova-Nedkova said that such an investigation had already been conducted about a year ago. At the time, the CPC examined the impact of the digitalization of food vouchers and found no such effects.
The operator points out that participation by retailers is entirely voluntary and that the number of small and medium-sized retailers participating has increased since the vouchers were digitalized. This is because paper vouchers involved administrative and transport costs, while reimbursement by operators took around two weeks, which meant delay in turnover for retailers. Digitalization has significantly reduced retailers’ costs, and reimbursements are now processed in a timeframe comparable to card payments, Yordanova-Nedkova said.
Commenting on Manolova’s remarks about the fees charged by operators, the expert said it was important to distinguish between the percentage charged for the voucher as a payment instrument and the fee agreed between a retailer and an operator under their contract.
The association is ready to provide data if requested by the supervisory authority and expects the findings to be identical to those of last year’s proceedings.
Proposed Food Voucher Increase to Bring Bulgaria Closer to EU Average, Operator Says THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-10-14 11:20:12
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