Food donated 30 days or more before expiry date will be exempt from value added tax (VAT), Bulgaria’s National Assembly decided on Thursday. For the purpose, the labelling of the food products must read the following: Donation-Not for Sale. The cost of the donation must not exceed 0.5% of the annual turnover of the contributor. According to data of the Bulgarian Food Bank, over 670,000 tons of food is destroyed in Bulgaria each year and donations amount to an average of 270 tons. Meanwhile, over 1.5 million Bulgarians live in poverty. The amendments to the VAT Act will enter into force on January 1, 2017.
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