Bulgaria Is A Tax Paradise In Eu

In the last five years the economic relations between Bulgaria and Austria grew significantly. This claimed in an interview for money.bg Mihael Angerer, trade councilor in the Austrian embassy in Bulgaria.Since the actual membership of Bulgaria in the European Union, and especially after 1998 the Austrian entrepreneurs found big investment potential in Bulgaria and invested in all sectors. Particularly high was the engagement in the financial and the insurance sectors, in telecommunications, energy and trade. The investors found the opportunity to invest in real estate, said also Angerer.According to him, data from the end of 2007 shows that Austria has invested 5.2 billion euro and is investor N1 in Bulgaria. The trade between the two counties is developing well. Form 2004 to 2008 the Austrian export to Bulgaria has doubled. Therefore Bulgaria is among the strongest trade partners of Austria, claimed the Austrian trade councilor and continued that the Bulgarian export to Austria was also increasing partly with relation to the high Austrian and altogether foreign investments in Bulgaria in the last year.To a question whether the Austrian investors could withdraw from Bulgaria because of the crisis, Mihael Angerer answered:The Austrian companies look practically at the economic field. In the current year they continued to invest in the country. Along the financial crisis it can be expected that the Austrian investors will seek their chances for success in and out of the country. The Austrian economy is based on the small and medium enterprises, which are directed at long-term activity, also abroad. Our companies find big potential in the new EU member states. If the conditions for funding become more difficult, the Austrian companies will be interested in the Bulgarian growing market.Here is some more from the interview Mihael Angerer gave for money.bg:M: In which fields are the Austrian companies interested in?M.A.: Lately there the interest of our companies in the field of production is increasing. The investment is mostly in the production of raw materials. There are new investments in the machine building, the production of metals and woods. The possibilities for the production of plastics and textile products are also used. The Austrian entrepreneurs see a big potential in the supply of technologies in the transport and the environment fields.M: What is the position of the tax legislation?M.A.: From my point of view Bulgaria is a tax paradise in the European Union. The low corporate tax and the 10% flat tax for physical people is extremely attractive for the Austrian investors. All in all, it is important to improve the framework conditions for the investors, such as transparency, improvement of the processes in the management and the jurisdiction, enhancement of the road infrastructure. These elements are decisive for Bulgaria's modernization and for the nearing of the life standard to the average on for the EU. The state institutions are expected to be fair and impartial in the economy.M: Could renewable sources be an alternative of the nuclear energy? We know Austria emphasized a lot on them. There are also a lot of discussions on this issue?M.A.: In Austria there are no nuclear plants. The water plants along the Danube and other rivers produce a significant part of the needed energy. Our country is developing also the production of energy from wind and biomass. Based on the proximity in topographic aspect, Bulgaria can also focus on alternative sources of energy, for example a future building of mountain dams. The Danube part between Bulgaria and Romania offers the possibility for the construction of two new river electric plants. The perspectives for using the wind and the sun for the production of energy are also perfect. The biomass usage also has great potential due to the big forests and the developed agriculture. To a large extent Bulgaria could satisfy its energy needs via renewable sources and be a model for the EU in this regard.