Accounting

In 2003 Bulgaria introduced the International Financial Reporting Standards (IFRS) and all companies registered in the country are required to use them for their consolidated financial statements.Investors in Bulgaria should have in mind that since 2005, International Accounting Standards (IASs) are obligatory for all consolidated and individual company financial statements of listed companies, financial institutions and all large limited liability entities. In comparison, in the EU, only public companies use IAS. Though doubts exist about Bulgarian SMEs having the capacity to introduce IFRS, the country plans making IAS requirements obligatory for them. IAS introduction is regulated by the Accounting Act, which states that the reporting period is from January 1 to December 31.